Close this search box.

Newsfeed: Single-Family Building & Permits Jump As ‘Renter Nation’ Fades

Of course, all this is interesting in the macro, but real estate supply and demand is all LOCAL.  That’s why it’s important to know your local market dynamics and have a strong boots-on-the-ground team.

By Tyler Durden via ZeroHedge

After February’s surprise surge in Housing Starts and Permits, driven largely by a brief dip in mortgage rates, the housing market’s data was expected to slide significantly in March data released today… and they did. However, while housing starts fell, it was less than expected (-0.5% MoM vs -3.5% exp but Feb’s 9.8% jump was revised down to +7.3%) but Building Permits plunged 8.8% MoM (vs 6.5% MoM drop) and Feb’s data was revised higherto 15.8% (from 13.8% MoM)…

Source: Bloomberg

So a mixed bag but overall lower permits and starts…

Source: Bloomberg

Notably, multi-family starts and permits both fell in March while single-family home starts and permits saw an increase…

  • single family housing starts +2.7% to 861K SAAR, highest since December 22
  • multi-family housing starts -6.7% to 542K SAAR, lowest since Jan 23
  • single family permits +4.1% to 818K SAAR, the highest since Oct 2022
  • multi-family permits tumble 29.7% to 543K from 717K, the lowest since November 2022

Source: Bloomberg

Mortgage rates are higher now (since March) and post-SVB we suspect credit tightening has been dramatic…which is unlikely to sustain this single-family home starts growth.

Finally, note the chart below which shows housing starts lead the downturn, then housing completions… and then construction employment…

The number of homes completed declined 0.6% to a 1.54 million pace.

The level of one-family properties under construction dropped to the lowest since August 2021, suggesting it will take time to boost inventory.

Is housing starts’ reversal signaling the downturn in the housing market that will eventually hit employment.

More From The Real Estate Guys

The Real Estate Guys™ radio show and podcast provides real estate investing news, education, training, and resources to help real estate investors succeed.


Broadcasting since 1997 with over 600 episodes on iTunes!

real estate podcast on itunesSubscribe on Androidyoutube_subscribe_button__2014__by_just_browsiing-d7qkda4



Love the show?  Tell the world!  When you promote the show, you help us attract more great guests for your listening pleasure!


Be the first to know when new content arrives!

Explore The Archives

[gold_price content="prices"]
[gold_price content="ratio"]

The Real Estate Guys™ Guests and Contributors Have Been Featured On:

Scroll to Top