With a tight housing market for existing homes, the demand for new home construction is growing as homebuyers seek more options. But which cities have the most new home construction in 2023? According to a new analysis by ChamberofCommerce.org, new home construction is booming in metropolitan Phoenix.
DEEPER DIVE: Here’s the salary needed to buy a home in Phoenix
The Phoenix area ranks No. 4 in the nation for new home construction permits, with more than 13,000 this year.
The study analyzed building permit data for new residential construction from the U.S. Census Bureau and the Department of Housing and Urban Development (HUD).
Here are the highlights for metro Phoenix:
- Average monthly new home permits in 2023: 3,459
- New single-family homes: 6,597
- Multi-unit residential homes: 7,238
- Total new homes in 2023: 13,835
Despite leading the nation in new home construction, the number of new homes is still down in Phoenix by 23.2% compared to this time last year.
Overall, the number of permits for new home construction is also down nationwide 21.1% year-over-year.
The analysis looked at the number of building permits for privately‐owned housing units in more than 200 of the largest metropolitan areas across the country.
You can find the full study here, but please feel free to let me know if you have any questions.
