Single-family permits took a dip in September while townhome activity picked up the pace. For the month, the number of single-family permits pulled fell to 444, down 19 percent compared to September 2017. The number of townhome permits pulled increased by 60 percent over September of last year. Large multifamily projects also saw a spike in activity with six permits issued for 674 units.
According to data compiled by the Keystone Report for Housing First Minnesota, there were 482 permits issued for a total of 1,277 units during four comparable weeks in the month of September.
“The rise in townhome construction undoubtedly reflects builders’ efforts to reach the largest share of the market,” said Tom Wiener, president of Housing First Minnesota. “Even as we saw more homes hit the market these past few months, we are still far below the levels of housing inventory we need.”
“The drop in single-family housing is concerning as we know builders are facing increasing headwinds,” said David Siegel, executive director of Housing First Minnesota. “With the increase in interest rates, tariffs, the workforce shortage and the regulatory burden, housing affordability will continue to be a challenge.”
For the month, Lakeville took the top spot with 31 permits issued. Savage came in next with 28 permits, followed by Otsego and Plymouth both with 25 permits. Rounding out the top five was Woodbury with 24 permits issued.
