U.S. housing starts increased 10.5 percent to a seasonally adjusted 1.173 million units in November 2015, according to numbers released by the U.S. government.
Single-family home production rose 7.6 percent to a seasonally adjusted 768,000 annual rate. The figure was the highest since January 2008.
Multifamily housing starts increased 16.4 percent to 405,000 units.
National Association of Home Builders chief economist David Crowe said the market is returning to levels last seen in 2007.
"Single-family production this month has reached levels last seen before the Great Recession, an indicator that we are making gradual headway back to a normal housing market," Crowe said. "As we close out the year, we can see that the housing sector has made headway in 2015, and we expect the recovery to continue at a modest pace."