November’s reading of 83 was up three points from October, driven by low existing inventories and strong buyer demand, the National Association of Home Builders reported, citing the latest NAHB/Wells Fargo Housing Market Index.
Housing observers noted that demand for housing remains robust despite the lack of new supply.
“There simply aren’t enough homes for sale relative to the demand fueled by millennials armed with low mortgage rate-driven house-buying power.” — First American Deputy Chief Economist Odeta Kushi
The decrease was driven by a 5.1% month-over-month slide in the rate of multifamily starts, while single-family construction was flat.
The seasonally adjusted estimate of new houses for sale at the end of July was 378,000, representing a supply of 6.1 months at the current sales rate.
With a population of 45,000, Bothell is booming and attracting housing developers in droves, including Vulcan Real Estate and other big names. Credit is due in large part to the dozens of biomedical companies located there.
Despite strong growth in the apartment sector nationwide, production in the Seattle area is expected to hit a five-year low in 2021 — a decline of 19% from 2020 levels — reports RENTCafé, a nationwide apartment search website.
“The bright spot in an otherwise underwhelming report comes from the increase in the overall number of permits issued, which can signal how much home construction is in the pipeline.” — First American deputy chief economist Odeta Kushi
Canyon Partners Real Estate LLC and American Capital Group have formed a joint venture to develop [email protected], a 230-unit apartment project in the Seattle suburb of Burien.
With high costs slowing construction and potentially lowering homeownership for many, easing zoning rules may be the most effective way to increase the supply of new housing.