More good news for the home building industry. According to the latest NAHB Economics housing and economic forecast, single-family and multifamily construction will see strong growth rates, with remodeling experiencing lesser but still positive growth.
According to the National Association of Home Builders, single-family starts increased by 24% in 2012 (535,500 total starts). The current rate of single-family construction is now up 74% from the market low point of March 2009. However, this is only 44% of normal conditions (levels of activity comparable to the period of 2000 through 2003). For 2013, the NAHB expects single-family starts to increase by 22% for a total of 650,000. Single-family construction is expected to grow another 30% in 2014.
Single-family Market Highlights
- 535,500 total starts for 2012, a 24% increase over 2011
- 2013 starts forecast: will total 650,000, a growth rate of 22%
- In 2014, single-family construction will grow another 30%
Multi-family Construction Highlights
- Multifamily starts totaled 244,500 in 2012, a growth rate of 37%
- 2013 multifamily starts forecast: total of 299,000, a 22% increase over the prior year
- 2014 forecast: smaller 6% growth rate to reach a starts total of 317,000
- Total remodeling activity was up 4.5% from 2011 to 2012
- 2013 forecast: additional 2.4% growth
- 2014 forecast: 1.7%