Housing construction starts fell in November, reaching a 16-year low, adding to fears that the economy is headed for recession, the Associated Press reported.

The Commerce Department reported that construction of new homes and apartments fell 3.7 percent last month to a seasonally adjusted annual rate of 1.187 million units. Single-family-home construction fell by 5.5 percent to an annual rate of 829,000 units, the lowest level since April 1991.

Applications for building permits, a sign of future activity, declined 1.5 percent to a seasonally adjusted annual rate of 1.15 million units, the sixth straight month of declines.

Overall housing construction is down 24.2 percent from a year ago, as banks and other lenders have tightened their loan standards in wake of a credit crisis. The economy is expected to slow to a 1 percent growth rate in the fourth quarter.