In a sign that the housing recovery is in full swing, building permits for new single-family residential homes in March reached the highest one-month total since October 2007, with 537 permits issued, according to the Home Builders Association of Greater Kansas City.
Permit activity for single-family homes rose 34 percent in the first quarter of 2016 over same time period in 2015, with 1,201 permits issued.
“The first quarter of 2016 has exceeded expectations for permit activity,” said HBA Executive Vice President Sara Corless, “Builders are feeling confident as they work to increase inventory levels for new home buyers.”
In addition, the data indicates that the older millennials are ready to start families and buy homes, something that is bringing more activity to the new home market. Metro area homebuilders and developers say traffic to new home communities began picking up in February and has remained strong throughout March and April.
Jerry Braklow, co-chair of the Home Builders Association’s 2016 Parade of Homes Committee, said the Spring Parade is expected to draw large numbers of interested buyers, thanks to low interest rates and rising incomes.
"The Spring Parade of Homes is an excellent source for buyers to begin their home search and view the latest design trends in new home construction,” said Braklow, owner of Braklow Custom Homes. “New home construction within the Kansas City market has shown tremendous growth over the past year. Given the highly competitive nature of our local resale market, consumer confidence in new home construction has risen to the highest levels since before the market crash in 2008.”
Wyandotte County led the metro area in first-quarter single-family permit activity growth, with a more than 100 percent increase year over year; Platte County permit activity grew by 89 percent; and Johnson County and Clay County activity rose by 43 percent and 28 percent, respectively.
Much of the uptick is attributable to fast-growing subdivisions, including Villas of Stonebridge in Wyandotte County, Terrybrook Farms in Johnson County, and Highlands of Northview, Kemp Estates and Rock Creek, all in Clay County.
Multi-family permitting remains active, with 825 units in March and a total of 987 in the first quarter. Multi-family permitting in the metro area contrasts with national housing data showing a drop in activity in March after a strong February.
April has been designated New Homes Month by the National Association of Home Builders, which coincides with the HBA’s Spring Parade of Homes. The Spring Parade will showcase 347 new homes throughout the metropolitan area from April 23 through May 8.
Spring Parade of Homes
Presented by the Home Builders Association of Greater Kansas City
When: Now through May 8
Hours: Open daily 11 a.m. – 6 p.m.
Information: Pick up your Parade Guide at the Home Builders Association (I-435 and Holmes Rd.) or at any of the 347 Parade homes in the metro area.
Web: Search online at kcparadeofhomes.com