Homebuilding shifts towards less population-dense housing markets

The first quarter of 2020 witnessed a shift in home building towards less population-dense housing markets in the United States, a trend which was greatly hastened by the onset of COVID-19. While most states issued statewide stay-at-home orders with exemption for construction, some of the hardest-hit states had no exemptions for construction when the pandemic first hit. While NAHBā€™s Home Building Geography Index (HBGI) focuses on county-level homebuilding developments, it is also informative to look at the relationship between COVID-19-associated deaths per capita by state and single- and multifamily permit issuances per capita by state.

It is worth noting that while New York, New Jersey, and Connecticut had the highest COVID-19-associated fatality rates, the multifamily housing demand in these states was still robust as of the end of the first quarter. Among all of the statesā€™ population-adjusted, multifamily permit issuances for March, Connecticutā€™s permit number was at the 50thĀ percentile, i.e., represented the median of all statesā€™ population-adjusted multifamily permit issuances, while New York and New Jersey were above the 50thĀ percentile.

Read More

BUILDER.MEDIA TERMS OF VIEWING POLICY!
This website, digital publication, and all of its contents are the copyright protected legal intellectual property of Builder Media. None of the protected content of this publication may be copied, shared, forwarded, reposted, reformatted or in any way utilized for any purpose without the written permission of the Publisher, under penalty of suit as provided by U.S and International laws governing copyright.