Proudly serving all of Florida with offices in Tampa, Orlando, and Fort Myers

Housing Production Makes Healthy Gains to Start New Year

by | Feb 19, 2018

Housing Production Makes Healthy Gains to Start New Year

By NAHB (National Association of Home Builders)

A surge in multifamily production pushed overall housing starts up 9.7% in January to a seasonally adjusted annual rate of 1.33 million units after an upwardly revised December reading, according to newly released data from HUD and the Commerce Department.

Multifamily starts rose 23.7% to a seasonally adjusted annual rate of 449,000 units. Meanwhile, single-family production posted a healthy 3.7% gain to 877,000 units.

“The growth in production is in line with our reports of solid builder confidence in the housing market,” said NAHB Chairman Randy Noel. “A pro-business regulatory climate and increasing housing demand are boosting builders’ optimism, even as they continue to face supply-side hurdles such as rising construction material prices and access to lots and labor.”

 The Stratford model at Dorset Park in Weymouth, Mass., garnered Gold honors in the NAHB Best in American Living production home category. Photo by Shelly Harrison Photography.

The Stratford model at Dorset Park in Weymouth, Mass., garnered Gold honors in the NAHB Best in American Living production home category. Photo by Shelly Harrison Photography.

“Demand for owner-occupied housing is rising due to favorable demographic tailwinds and a healthy labor market. Increases in after-tax incomes should help prospective buyers save for a downpayment on a home,” said NAHB Chief Economist Robert Dietz. “As consumers continue to enter the single-family market, we should see builders increase production to meet this demand.”

Regionally in January, combined single- and multifamily housing production increased 45.5% in the Northeast, 10.7% in the West, and 9.3% in the South. Starts fell 10.2% in the Midwest.

Overall permit issuance rose 7.4% to a seasonally adjusted annual rate of 1.4 million units, which is a post-recession high. Multifamily permits registered a 26.5% gain to 530,000 while single-family permits edged down 1.7% to 866,000.

Permit issuance rose 92.5% in the South and 17.1% in the West. Permits declined 2.6% in the Midwest and 21.7% in the Northeast.

i 3 Table of Contents

Recent Blogs:

What Causes Seawall Failure in Florida and How to Prevent It?

Living near Florida’s coastline is beautiful, but your seawall works hard behind the scenes every day. Between pounding waves, shifting soil, saltwater corrosion, and storm season, even a well-built seawall is under constant stress. When cracks appear or sections...

Slab Lifting and Leveling Experts Making Your Floors Perfect and Safe

Have you noticed your concrete slab sinking or becoming uneven? Beyond being an eyesore, it can create safety hazards, damage property, and lower your home’s value. The good news is that you don’t need a full replacement to fix it. With advanced methods like...

Featured Projects:

About the Author:

Jay Silver

Jay Silver is the founder and president of Helicon, Florida’s leading geotechnical construction company specializing in foundation repair, soil stabilization, deep foundations, and underpinning solutions.

Under his leadership, Helicon has become one of Florida’s top foundation repair providers and a trusted partner for homeowners, builders, and contractors across Florida. Jay is recognized as an expert in geotechnical construction and is active in professional organizations advancing the industry.