With close to 4,000 new residential permits added to the HBW database for Florida during the month of November, there is proof of a solid and consistent level of construction in the fourth quarter of 2015.
According to a December report by MarketWatch, 3 out of the top 10 cities in the U.S. where home prices are rising are Florida cities. MarketWatch reported Orlando (#2), Miami (#3) and Tampa (#10) as areas where home prices continue to increase. When reviewing HBW reports for residential building activity in November, it is evident that home builders are also seeing growth. In comparison to October (see HBW Report: Top Florida Home Builders – October 2015), every area in Florida increased or remained steady in housing starts with the exception of South Florida. Along with the increase in real estate value, Orlando topped the new residential construction list having a 5% increase in activity since October and 1,014 starts for the month. Here is a look at the breakdown and areas where residential permitting activity were the highest in November.
As previously mentioned, Orlando experienced a 5% increase in permitting activity in comparison to October. There were 1,014 housing starts with a total value exceeding $305.7 million. As in October, Orange County remained the most active with 383 new residential permits for the month and a total value of nearly $136.7 million. Osceola County was second in permitting activity with 228 new permits added to the HBW database and a total value of $44.8 million. In the third spot, Volusia County made the list with 151 starts and a total value of $47.3 million.
Residential construction in Southwest Florida continued to rise. According to the HBW database, the area experienced a 9% increase in residential starts since October, with 914 new permits and a total value in excess of $271 million. Residential building activity was widespread across the counties as usual, and Lee County led and was slightly above October activity with 239 permits and a total value of $66.8 million. Sarasota County wasn’t far behind with 222 starts and a total value of $51.2 million. Collier County was also busy in November with 206 starts and the highest total value ($90.6 million) for counties in the area.
As previously mentioned, MarketWatch recently reported that the Tampa area is #10 for rising real estate and has a home price appreciation of 7%. As for new residential building activity, the area remained steady in November with similar levels of activity as October. There were 865 new permits added to the HBW database for the area with a total value exceeding $238.6 million. Three counties experienced the bulk of residential construction for the month. Hillsborough County led with 258 starts and a total value close to $85.7 million. Not far behind in total permits, Polk County had 236 housing starts and more than $46.5 million in total value. Pasco County remained strong with 201 new residential permits for the area and was second highest for total value (nearly $51 million).
Jacksonville experienced the greatest increase (more than 10%) in residential construction permits in comparison to October, as there were 663 new permits for the area with a total value close to $154.6 million. Duval (262 permits – total value: $48.4 million+) and St. Johns (239 permits – total value: $66.7 million+) counties carried the bulk of residential construction activity for the month. Although there was a significant gap between the second and third highest counties for permitting activity, Clay County held on to the third spot with 66 starts and a total value nearing $12 million.
Unlike other parts of Florida, the southeast region fell short in residential building activity in comparison to October. The area had 372 starts at a total value close to $160 million. Palm Beach County remained on top in the area for new permits with 140 permits on record for the month and a total value close to $57 million. One county that experienced a slight increase since October was Indian River County with 67 starts and a total value exceeding $25.3 million. The third highest county for residential construction in November was St. Lucie with 64 permits added to the HBW database at a total value above $10.6 million.
Information utilized for the graphs and above listed figures was directly derived from HBW construction data reports. To gain access to the HBW database and receive custom and detailed reports on the latest building activity in Florida and beyond, please contact HBW for details.