HBW Report: Texas Residential Construction July 2017
Overall, new residential construction was up in Texas last month. With a total of approximately 7,260 housing starts and $1.7B in total construction value, the Lone Star State experienced an 11% month-over-month increase in new home permitting. While San Antonio experienced the greatest spike in new construction since June (50%), it was Houston that remained on top of the four major metro areas reviewed (Dallas, Houston, Austin, San Antonio) for total housing starts. Here is a breakdown of the latest permitting activity by area:
Out of the nearly 300 active builders on file in Dallas during the month of July, D.R. Horton remained the leader in new home construction for the one-month period. Across the metro Dallas area there were nearly 2,400 housing starts with a value in excess of $719M in July, reflecting a 7% month-over-month increase. Highest concentrations of new residential construction permitting activity could be found in the counties of Tarrant (721 permits) and Collin (610 permits). Dallas has consistently held a higher value in real estate, and the value of new construction follows the same trend, as it tops the other major metro areas with an average value of more than $300k.
Houston is a powerhouse when it comes to new residential construction. While the area is on the lowest end for average value ($199,557) of new home construction, it continues to kick out the greatest amount of housing starts each month. Last month, there were 323 active builders in Houston, and Lennar Homes led with 208 permits on file for the period. Having experienced a 19% increase in housing starts in comparison to June, the Houston area had nearly 3,200 new residential construction permits and more than $638M in total value on file with HBW. The majority of new construction could be found in Harris County, where there were 1,850 housing starts with a total value greater than $361M for the month.
Austin was the only area that experienced a dip in residential construction activity in July. With a 10% month-over-month decrease in housing starts, Austin had 969 new permits and nearly $227M on file last month. Out of the 120 active builders pulling permits in the area, D.R. Horton was the leader with 135 housing starts; most of the mega-builder’s activity took place in Travis County. Building activity in Travis County accounted for 65% of Austin’s new construction as there were 636 permits and nearly $142M in total value there for the one-month period. The average value of new construction in the area was a moderate $234,158.
While the area of San Antonio carried the lowest amount of housing starts as per usual, it experienced the greatest month-over-month increase in construction. Having a boost of nearly 50% since June, there were 699 new residential construction permits and more than $164M in total value on file with HBW for the month. Out of the more than 145 active builders in the area, Continental Homes experienced the greatest amount of new home building activity with 76 new permits on file. Close to half of all new construction in San Antonio was concentrated in Bexar County (335) and across the metro area the average value of new homes ranked second highest in the state at $235,399.
Information utilized for the reports and graphs for Texas residential construction was directly derived from HBW construction data reports. To gain access to the HBW database and receive custom and detailed reports on the latest residential and commercial building activity in Florida, Georgia, Texas, Alabama, and Oklahoma, please contact HBW for details.