Multifamily Market Continues to Struggle

New condo production is virtually non-existent.
Photo: HowardModels.com

Although sales of existing condominiums rose in July to 630,000 from 560,000 in June, inventories of existing condos for sale rose from 611,000 to 791,000.

Thus, even with the higher sales rate, the months’ supply of condos for sale rose from 13.1 in June to 15.1 in July. For landscape contractors this means that maintenance may be a more viable option than installation for condos.

New condo production averaged 33 condo starts per state per month for the first six months of 2009 — and all multifamily construction continues a downward spiral and will likely approach 100,000 starts on a seasonally adjusted annual basis for the remainder of 2009.

Courtesy of NAHB