The U.S. Census Bureau and the Department of Housing and Urban Development have shared their most recent statistics for residential construction. These numbers come from the month of July and include building permits, housing starts and housing completions for new construction. These new statistics allow us to breathe a little more and look forward to a growing industry. In fact, the number of building permits provided by these two districts is the highest they’ve been in a four-year period.
A Closer Look at the Numbers
Privately-owned housing units authorized by building permits in the month of July were 6.8 percent higher than in June. The number of building permits was at 812,000, compared to 760,000 from the month prior. Better yet, there has been a big leap forward from July 2011 when only 627,000 building permits were authorized. This season’s numbers are 29.5 percent up from last July, keeping consistent with the continued growth and development of the residential construction industry.
Not only are building permits of importance, but so are new house starts. Privately-owned housings starts for July 2012 were at 746,000 and are up 21.5 percent from July 2011. Interestingly, however, the new numbers of housing starts for July is slightly lower than for the month of June. Fortunately, the increase in building permits will allow for more housing starts in the following months.
The final numbers to look at are privately-owned housing completions. This July, the annual rate of housing completions was 668,000, which is 7.1 percent above the month of June and 5.4 percent above July 2011. Single-family homes are especially impressive, with 448,000 landing this category.
What These Numbers Mean
So what do these findings mean for the construction industry? After the economic downfall in 2007, the construction industry was the hardest hit sector and has continued to cut jobs and business growth. Yet this major hurdle is taking a turn for the better, and the numbers have been showing progress for quite some time.
Not only are we moving forward year-to-year, but progress is being made month-to-month. We can be pleased at the privately-owned construction development, including single-family homes and large buildings comprised of five or more units. As long as we continue to stay on task with acquiring new building permits, we can continue advancing in the industry. Soon, it won’t just be a great time to buy; it will be a great time to buy new construction.
Blog sponsored by: Construction Reports
Image c/o: frontdoor.com
Reference Link: Construction Business Owner