Steep Year-over-Year Decline for Single-Family Permits in February 2023

Over the first two months of 2023, the total number of single-family permits issued year-to-date (YTD) nationwide reached 112,131. On a year-over-year (YoY) basis, this is 34.3% below the February 2022 level of 170,716.

Year-to-date ending in February, single-family permits declined in all four regions. The Northeast posted a decline of 23.6%, while the West region reported the steepest decline of 44.7%. The Midwest declined by 33.3% and the South declined by 31.5% in single-family permits during this time. The South posted an increase of 31.8% in multifamily permits and the West increased by a small margin. Multifamily permits in the Northeast were down 32.6% and down in the Midwest 14.8%.

Between February 2022 YTD and February 2023 YTD, all the states and the District of Columbia reported declines in single-family permits ranging from 3.8% in New Mexico to 72.8% in Montana. The ten states issuing the highest number of single-family permits combined accounted for 66.3% of the total single-family permits issued. Texas, the state with the highest number of single-family permits declined 40.2% in the last 12 months while the next two highest states, Florida and North Carolina declined by 31.2% and 22.3% respectively.

Year-to-date, ending in February, the total number of multifamily permits issued nationwide reached 100,633. This is 8.4% above the February 2022 level of 92,818.

Between February 2022 YTD and February 2023 YTD, 24 states and the District of Columbia recorded growth, while 26 states recorded a decline in multifamily permits. North Dakota led the way with a sharp rise in multifamily permits from two to 316 while Maine had the largest decline of 89.3% from 748 to 80. The ten states issuing the highest number of multifamily permits combined accounted for 67.4% of the multifamily permits issued.

At the local level, below are the top ten metro areas that issued the highest number of single-family permits.

Top 10 Largest SF Markets Feb-23 (# of units YTD, NSA) YTD % Change
(compared to Feb-22)
Houston-The Woodlands-Sugar Land, TX                                           6,269 -34%
Dallas-Fort Worth-Arlington, TX                                           4,867 -38%
Atlanta-Sandy Springs-Roswell, GA                                           2,945 -39%
Charlotte-Concord-Gastonia, NC-SC                                           2,745 -23%
Phoenix-Mesa-Scottsdale, AZ                                           2,455 -60%
Orlando-Kissimmee-Sanford, FL                                           2,293 -24%
Tampa-St. Petersburg-Clearwater, FL                                           1,926 -26%
Austin-Round Rock, TX                                           1,908 -52%
Nashville-Davidson–Murfreesboro–Franklin, TN                                           1,845 -34%
New York-Newark-Jersey City, NY-NJ-PA                                           1,808 -12%

For multifamily permits, below are the top ten local areas that issued the highest number of permits.

Top 10 Largest MF Markets Feb-23 (# of units YTD, NSA) YTD % Change
(compared to Feb-22)
Dallas-Fort Worth-Arlington, TX                                           5,364 10%
Houston-The Woodlands-Sugar Land, TX                                           4,910 57%
Atlanta-Sandy Springs-Roswell, GA                                           4,162 83%
New York-Newark-Jersey City, NY-NJ-PA                                           4,047 -38%
Miami-Fort Lauderdale-West Palm Beach, FL                                           3,762 113%
Los Angeles-Long Beach-Anaheim, CA                                           2,793 0%
Denver-Aurora-Lakewood, CO                                           2,749 35%
Phoenix-Mesa-Scottsdale, AZ                                           2,698 18%
Austin-Round Rock, TX                                           2,565 -14%
Seattle-Tacoma-Bellevue, WA                                           2,404 -21%

 


Discover more from Eye On Housing

Subscribe to get the latest posts to your email.

Leave a Reply