The NAHB's Robert Dietz takes a look at the most recent Census Bureau and HUD data, which show starts on multifamily properties jumping in July, increasing by 5% month over month.
Multifamily starts increased to 441,000 in July, though the pace of permitting wasn't quite as robust: Year to date, multifamily permits are a little less than 1% lower year over year.
Taken together, these trends are consistent with the NAHB forecast, which sees gathering strength for single-family construction and a leveling off of multifamily production as the market finds a balance between housing demand and supply.
Taking the long view, an examination of the count of homes currently under construction provides the degree of market mix and momentum of the recovery in home construction. As of July, 58% of units under construction in the nation were multifamily (605,000), a 17% gain in the total from a year earlier.