Housing starts have exploded this summer in a positive sign for the U.S. economy, with new constructions increasing 26.6 percent and building permits up 30 percent in June compared to the same time last year.

The U.S. Commerce Department reported Friday that starts and permits had reached eight-year highs, mostly thanks to multi-family housing, according to a Forbes report.

The seasonally adjusted annual rate was 1.174 million in June, a 9.8 percent boost over the May estimate of 1.069 million, and way about the rate last June of 927,000.

Meanwhile, single-family housing actually declined in June by about 0.9 percent, going from an annual rate of 691,000 in May to 685,000 last month.

But buildings with five or more units showed huge gains, increasing 28.6 percent in June to a seasonally adjusted annual rate of 476,000.

Permits jumped to a rate of 1.343 million — that’s the highest it’s been since July 2007, before the crash that led to the recession the United States is currently digging out of.

June permits were 30 percent higher compared to the same time last year, which was just 1.033 million. The June total was also a 7.4 percent boost of the 1.25 million rate in May.

The numbers indicate a big boost in multi-family housing, but builders are also confident in single-family housing, reaching a level of 60 in this sector, according to the National Association of Home Builders/Wells Fargo Housing Market Index as reported by Forbes. A reading of at least 50 and above that means builders consider conditions are fairly good. A rating of 60 is the highest seen since all the way back in November 2005 — nearly a decade ago.