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Year-to-Year Housing Stats Soar07-21-15 | News

Year-to-Year Housing Stats Soar

Nearly 1.2 million single- and multi-family housing projects were started in June, and close to a million more units have been listed as complete. Multi-family housing created the most dramatic change in the numbers: 55 percent more starts, 53 percent higher completion rate, and a whopping 80 percent hike in building permits, all on a year-to-year basis. Another half-million multi-family projects remain under construction.

Building permits, housing starts and completions all soared in June, compared to the same month a year ago, according to U.S. Census Bureau data.

Multi-family projects, in particular, are surging. Starts and completions each climbed by more than 20 percent, and permits jumped by over 30 percent, all in a year-to-year comparison.

Nearly 1.2 million single- and multi-family housing projects of five units or more began construction in June. This is 9.8 percent better than the revised May figure of one million, and 26.6 percent higher than the same month a year ago.

The number of single-family starts, 685,000 homes, is only one percent below the revised May figure, and 14.7 percent higher on a year-to-year basis.

But there were 476,000 multi-family starts, and that is 35.5 percent higher month-to-month, and 55 percent better than a year earlier.

The Census Bureau also keeps track of buildings that fall between the starts and completions categories, or those still under construction. There are 500,000 multi-family projects, of five units or more, and 372,000 single family homes in this group.

"The multifamily gains this month are encouraging and show that the millennial generation continues to be drawn to the rental market," said Tom Woods, chairman of the National Association of Home Builders (NAHB).

Approximately 972,000 single- and multi-family housing projects were recorded as complete in June, a 22 percent jump on an annual basis, but down 6.7 percent month-to-month.

Multi-family projects led the way with 317,000 new buildings. This is down nearly 18 percent from May, but 53 percent higher year-to-year.

There were 647,000 single-family homes listed as done in June. That is 0.3 percent better than May, and a 10.6 percent improvement over June 2014.

"While builders are reporting overall confidence in the housing market, they continue to note difficulties accessing land and labor," said David Crowe, chief economist for the NAHB. "These headwinds appear to be affecting production gains in the single-family sector."

More than 1.3 million building permits for housing projects were approved in June. This is a 7.4 percent increase compared to May, and a 30 percent increase from a year ago.

Multi-family permits skyrocketed to 621,000, which is 16 percent better month-to-month, but an 80 percent jump over June 2014.

Figures for single-family homes are 687,000 permits, 0.9 percent higher month-to-month, and a 6 percent rise annually.