BuildFax February Housing Health Report Uncovers Major Metros Withstanding the Slump in Housing Activity
Chicago, Dallas, Washington D.C. and New York City experienced steady increases in year-over-year new construction and maintenance activity in February
AUSTIN, Texas–The BuildFax Housing Health Report revealed the fourth consecutive month of decreases across single-family housing authorizations, maintenance and remodel volumes on a national level in February 2019. Meanwhile, maintenance and remodel spend increased year over year, which may be attributed to recent spikes in U.S. construction labor costs. The report, which leverages U.S. property condition and history data to deliver macro- and microeconomic trends, also explored city-level housing activity, highlighting certain metro areas that diverge from national trends.
Housing Supply by Volume
Single-family housing authorizations decreased by 5.75 percent year over year.
Existing housing maintenance volume decreased by 5.53 percent year over year.
Existing housing remodel volume decreased by 10.07 percent year over year.
“There have been persistent declines across key housing indicators for four consecutive months,” said BuildFax CEO Holly Tachovsky. “However, we anticipate some economic relief as we head into 2019’s spring homebuying season. Mortgage rates have reached recent lows leading to increased potential for home sales, which is oftentimes followed by a surge in remodeling activity. The performance of single-family housing authorizations, maintenance and remodeling activity through this next season will shed light on whether declines in the housing market will spread to the broader economy.”
The report delivers an in-depth analysis of the 10 largest metro areas, including New York City, Los Angeles, and Chicago. While the housing markets for all 10 metro areas have experienced steady growth over the past five years, in recent months, just four cities are maintaining increases in housing activity.
For more trends affecting the U.S. housing market, access the full report here. To learn more about BuildFax, visit www.buildfax.com.
BuildFax, headquartered in Austin, Texas, is trusted by the largest insurance and financial institutions in the world to deliver business-critical property condition and history data. With the only database of its kind encompassing more than 23 billion data points on commercial and residential structures, BuildFax delivers detailed data on remodeling, solar installations, new construction, roof age, major systems, maintenance history and more. To learn more about BuildFax, visit www.buildfax.com.
METHODOLOGY: BuildFax conducted this study by examining properties in the U.S. between the years 2013 and 2019. Data only includes properties located within permitting authorities with 100 percent coverage during the above time frame. All percentage increase and decrease statistics leverage the same data set across time. Due to historical revisions made by permitting authorities, the data is subject to change. Estimates are as of March 8, 2019.