The US Census Bureau’s New Private Housing Units Authorized by Building Permits shows an increase of 115 housing units from May to June 2012. Or a 33% increase from June 2011 to June 2012. While this is not showing that new home construction is back to a healthy level, it is showing it is beginning to move in the right direction.
Given the inventory of homes available for sale in the Twin Cities and the Absorption Rate, I believe we will see a continued rise in building permits going into the fall.
This kind of goes against the headlines earlier this week in which New Home Sales dropped by 8.4%. It is true nationally, but not locally. Ag Beat posted a good article explaining the regional differences in that report. The Midwest Region was up by 15%.
DATE: # of Units2012-01-01 521 2012-02-01 541 2012-03-01 430 2012-04-01 704 2012-05-01 651 2012-06-01 766US Census Bureau Report