WASHINGTON, D.C. – August 5, 2015 – (RealEstateRama) — With another solid jump in single family housing starts in June, Tennessee crossed the 2,000 mark for the first time since before the “Great Recession.”
Based on permits issued last month, homebuilders in Tennessee have plans to break ground on 2,006 new single family homes. The June number is up from 1,871 housing starts in May and represents a new highpoint since the housing crisis began seven years ago.
“Tennessee has a shortage of houses on the market right now, both new and existing, so we see a lot of room to keep growing,” said Susan Ritter, executive director of the Home Builders Association of Tennessee. “In fact, the biggest constraint on housing starts is a shortage of labor, not lack of demand.”
Tennessee last crossed the 2,000 threshold in October 2007, two months before official start of the recession.
With home construction being one of the strongest drivers of economic growth in Tennessee, THDA is actively trying to reduce barriers to homeownership. THDA offers low-cost homebuyer education classes that teach first-time buyers how to make better informed decisions during the home search, inspection, and financing processes. THDA also manages the Great Choice Mortgage Loan program, which includes downpayment assistance and eliminates other common hurdles for moderate/middle income buyers.
Above numbers are seasonally adjusted. Seasonally adjusted and non-seasonally numbers from the Federal Reserve Bank of St. Louis are available here.