The slowdown in Houston’s economy has given Dallas-Fort Worth a boost into the nation’s top homebuilding slot.
Metrostudy Inc. reports that Houston has given up its perch as the biggest single-family homebuilding market thanks to a 10 percent drop in first-quarter home starts.
D-FW starts were up more than 20 percent during the same period.
Houston has led the country in single-family home building for several years. With the impact of lower oil prices and layoffs in the energy sector, Houston-area builders have pulled back on starts.
D-FW had an annual start rate of 28,878 houses compared with 27,263 in the Houston area, according to Metrostudy.
“The [Houston] market appears to have peaked this cycle in the fourth quarter of 2014,” Metrostudy’s Lawrence Dean said. “Metrostudy anticipates another decline of approximately 10 percent in 2016.”
Analysts anticipate that North Texas home starts will grow by about 10 percent this year to their highest level since the recession.
A strong economy and rising employment growth are fueling demand for thousands of new homes.
Source: The Dallas Morning News