Eye On Housing
In the fourth quarter of 2012, NAHB’s Multifamily Production Index (MPI) increased two points to 54, marking the fourth straight quarter the index has been over the key break-even point of 50. The MPI is an overall measure of builder and developer sentiment on current conditions in the apartment and condominium market. The MPI is built from three components, capturing… Read More ›
Tag Archive for ‘construction’
Apartment Construction Continues to Improve
Completions of unfurnished apartments for rent or sale in 5+ unit properties climbed to more than 30,000 units during the third quarter of 2012, a 20% increase versus the third quarter of 2011. The Survey of Market Absorption of Apartments (SOMA) tracks completions and market absorption rates (units rented or sold after construction of the property is complete) for apartments sold or… Read More ›
NAHB Survey on AD&C Lending for the 4th Quarter
Builders and developers continue to report that credit for acquisition, development, and construction (AD&C) is improving slightly, according to NAHB’s survey on AD&C financing. In the fourth quarter of 2012, the overall net tightening index based on the AD&C survey was -4.5, which was little changed from the third quarter. The index is constructed so negative numbers indicate easing of credit;… Read More ›
NAHB Survey on AD&C Lending for the 4th Quarter
Builders and developers continue to report that credit for acquisition, development, and construction (AD&C) is improving slightly, according to NAHB’s survey on AD&C financing. In the fourth quarter of 2012, the overall net tightening index based on the AD&C survey was -4.5, which was little changed from the third quarter. The index is constructed so negative numbers indicate easing of credit;… Read More ›
Multifamily Production Falls Back to November Rate
The Census Bureau’s preliminary estimate of starts in buildings with five or more apartments for January came in at 260,000 (at a seasonally adjusted annual rate). As predicted in last month’s post, a rate well in excess of 300,000 proved too high to sustain. In fact, the five-plus starts rate for December was revised upward, from 330,000 to 352,000—so the preliminary… Read More ›
Multifamily Production Rate Hits 4.5-Year High
In December, the (seasonally adjusted) annual rate of starts in buildings with five or more apartments increased by 23 percent from the revised figure for November, to 330,000. The November figure was revised down substantially, but the big news is that the rate of multifamily production continues to climb, even after the large improvements it made in September and October of 2012—to the point where,… Read More ›
Apartment Production Stable at 4-Year High
In November, the (seasonally adjusted) annual rate of starts in buildings with five or more apartments was 285,000, according to the latest release from the Census Bureau’s Manufacturing and Construction Division. In the release this shows up as a 4,000 increase from October, but the five-plus starts rate for October was revised downward by 4,000; so the preliminary rate for November… Read More ›
Credit Still Tight, Although Builders Report Slight Improvement
Availability of new loans for acquisition, development, and construction (AD&C) has finally started to improve slightly, according to NAHB’s survey on AD&C financing for the third quarter of 2012. The overall net bank tightening index calculated from the AD&C survey dropped from +6.0 in the second quarter down to -4.3. The way the index is constructed, negative numbers indicate easing… Read More ›
Confidence in Multifamily Production Mostly Up in the Third Quarter, with Some Weakness in Low-Rent
The Multifamily Production Index (MPI), released by the National Association of Home Builders (NAHB), remained fairly steady in the third quarter of 2012 at 52—the third straight quarter the index has been over 50. The MPI measures builder and developer sentiment about conditions for apartment and condominium construction, and is are scaled so that any number over 50 means more… Read More ›
Production of New Apartments: Upward Trend Continues
In October, the previous month’s upward trend in multifamily production continued, as starts in buildings with five or more apartments came in at a (seasonally adjusted annual) rate of 285,000. Although the line isn’t completely solid, buildings with at least five apartments are generally a reasonable way to draw a distinction between smaller “mom and pop” operations and the province… Read More ›