{"id":845930,"date":"2025-05-02T08:03:35","date_gmt":"2025-05-02T12:03:35","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/permits-to-build-u-s-apartments-drop-below-pre-pandemic-levels\/"},"modified":"2025-05-02T08:03:35","modified_gmt":"2025-05-02T12:03:35","slug":"permits-to-build-u-s-apartments-drop-below-pre-pandemic-levels","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/permits-to-build-u-s-apartments-drop-below-pre-pandemic-levels\/","title":{"rendered":"Permits to Build U.S. Apartments Drop Below Pre-Pandemic Levels"},"content":{"rendered":"

<\/p>\n

Permits to Build U.S. Apartments Drop Below Pre-Pandemic Levels<\/b><\/p>\n

Redfin reports permits to build multifamily housing units are down 27% from the pandemic building boom and down 5.5% from before the pandemic<\/i><\/p>\n

SEATTLE–(BUSINESS WIRE<\/a>)–
\n(NASDAQ: RDFN) \u2014 Developers obtained permits to build 12.4 multifamily housing units for every 10,000 people in the U.S. over the past year, according to a new report<\/a> from Redfin (redfin.com), the technology-powered real estate brokerage. That\u2019s down 27.1% from 17 units per 10,000 people during the pandemic building boom, and down 5.5% from 13.1 units in the years leading up to the pandemic.\n<\/p>\n

\nThis is according to a Redfin analysis of U.S. Census Bureau data covering building permits for multifamily units in buildings with five or more units.\n<\/p>\n

\nRemote work during the pandemic allowed scores of Americans to relocate, leading to a surge in rental demand. Builders ramped up construction in response\u2014particularly in high-demand Sun Belt metros like Austin, TX and Tampa, FL. That led to a record number of new apartments being completed in 2024. But now, rents are flattening<\/a> and borrowing costs are high, making building less attractive.\n<\/p>\n

\n\u201cNew apartments are being rented out at the slowest speed<\/a> on record, and builders are pumping the brakes because elevated interest rates are making many projects prohibitively expensive,\u201d said Redfin Senior Economist Sheharyar Bokhari<\/a>. \u201cAt some point in the next year, the slowdown in building will mean that renters have fewer options\u2014potentially leading to an increase in rents.\u201d\n<\/p>\n

Austin is still permitting more multifamily housing than any other major metro<\/b><\/p>\n

\nIn spite of falling rents<\/a>, developers are still targeting Austin for growth. The Texas metro granted permits to build 64.5 multifamily units for every 10,000 people over the past year. That\u2019s the highest level among the 78 U.S. metros Redfin analyzed with populations of at least 750,000. The top five was rounded out by four more Sun Belt metros: Cape Coral, FL (59.6), North Port, FL (53.3), Raleigh, NC (41.1) and Orlando, FL (40.7).\n<\/p>\n

\nAt the other end of the spectrum, Stockton, CA recorded 0 new permits in the past year\u2014the lowest of the metros analyzed. Next came Bakersfield, CA (0.8 units per 10,000 people), El Paso, TX (1.6), Providence, RI (1.6) and Baton Rouge, LA (1.9).\n<\/p>\n

63% of major metros have posted a decline in multifamily permits since the pandemic<\/b><\/p>\n

\nNearly two thirds (63%) of the metros analyzed posted a decline in multifamily construction since the pandemic era. Stockton saw the biggest drop, with permits per 10,000 people falling to 0 from 5.7\u2014a decline of 100%. Next came Colorado Springs, CO (-82% to 8.6 units per 10,000 people over the past year from 47.7 during the pandemic), Boise City, ID (-64% to 12.6 from 35.2), Minneapolis (-62% to 13.6 from 35.6) and Jacksonville, FL (-61% to 15.9 from 40.9).\n<\/p>\n

\nOklahoma City led the list of metros posting the biggest increase, growing 193% from 1.7 units permitted per 10,000 people during the pandemic to 5.1 over the past year. That\u2019s still well below the national average of 12.4 units permitted per 10,000 people, something the next four cities also have in common. Pittsburgh (+184% to 8.8 units per 10,000 people in over the past year, from 3.1 during the pandemic), Hartford, CT (+102% to 9.4 from 4.6), Baton Rouge, LA (+90% to 1.9 from 1.0) and Milwaukee (+88% to 11.8 from 6.3) round out the top five metros posting the highest permit growth.\n<\/p>\n

\nTo view the full report, including a metro-level summary, charts and methodology, please visit: https:\/\/www.redfin.com\/news\/multifamily-construction-permits-2025<\/a><\/p>\n

About Redfin<\/b><\/p>\n

\nRedfin (www.redfin.com<\/a>) is a technology-powered real estate company. We help people find a place to live with brokerage, rentals, lending, and title insurance services. We run the country’s #1 real estate brokerage site. Our customers can save thousands in fees while working with a top agent. Our home-buying customers see homes first with on-demand tours, and our lending and title services help them close quickly. Our rentals business empowers millions nationwide to find apartments and houses for rent. Since launching in 2006, we’ve saved customers more than $1.8 billion in commissions. We serve approximately 100 markets across the U.S. and Canada and employ over 4,000 people.\n<\/p>\n

\nRedfin\u2019s subsidiaries and affiliated brands include: Bay Equity Home Loans\u00ae, Rent.\u2122, Apartment Guide\u00ae, Title Forward\u00ae and WalkScore\u00ae.\n<\/p>\n

\nFor more information or to contact a local Redfin real estate agent, visit www.redfin.com<\/a>. To learn about housing market trends and download data, visit the Redfin Data Center<\/a>. To be added to Redfin’s press release distribution list, email press@redfin.com<\/a>. To view Redfin’s press center, click here<\/a>.\n<\/p>\n

\"\"<\/p>\n

View source version on businesswire.com: <\/span>https:\/\/www.businesswire.com\/news\/home\/20250502319675\/en\/<\/a><\/span><\/p>\n

\nContact Redfin
\n
Redfin Journalist Services:
\n
Isabelle Novak
\n
press@redfin.com<\/a><\/p>\n

KEYWORDS:<\/b> United States North America Washington<\/p>\n

INDUSTRY KEYWORDS:<\/b> Commercial Building & Real Estate Apps\/Applications Technology Construction & Property Finance Professional Services Internet Data Analytics Residential Building & Real Estate<\/p>\n

MEDIA:<\/b><\/p>\n\n\n\n\n
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Permits to Build U.S. Apartments Drop Below Pre-Pandemic Levels Redfin reports permits to build multifamily housing units are down 27% from the pandemic building boom and down 5.5% from before the pandemic SEATTLE–(BUSINESS WIRE)– (NASDAQ: RDFN) \u2014 Developers obtained permits to build 12.4 multifamily housing units for every 10,000 people in the U.S. over the past year, according to a new report from Redfin (redfin.com), the technology-powered real estate brokerage. That\u2019s down 27.1% from 17 units per 10,000 people during the pandemic building boom, and down 5.5% from 13.1 units in the years leading up to the pandemic. This is according to a Redfin analysis of U.S. Census Bureau data covering building permits for multifamily units in buildings with five … <\/p>\n

Continue reading “Permits to Build U.S. Apartments Drop Below Pre-Pandemic Levels”<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-845930","post","type-post","status-publish","format-standard","hentry"],"yoast_head":"\nPermits to Build U.S. Apartments Drop Below Pre-Pandemic Levels - Market Newsdesk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.marketnewsdesk.com\/index.php\/permits-to-build-u-s-apartments-drop-below-pre-pandemic-levels\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Permits to Build U.S. Apartments Drop Below Pre-Pandemic Levels - Market Newsdesk\" \/>\n<meta property=\"og:description\" content=\"Permits to Build U.S. Apartments Drop Below Pre-Pandemic Levels Redfin reports permits to build multifamily housing units are down 27% from the pandemic building boom and down 5.5% from before the pandemic SEATTLE–(BUSINESS WIRE)– (NASDAQ: RDFN) \u2014 Developers obtained permits to build 12.4 multifamily housing units for every 10,000 people in the U.S. over the past year, according to a new report from Redfin (redfin.com), the technology-powered real estate brokerage. That\u2019s down 27.1% from 17 units per 10,000 people during the pandemic building boom, and down 5.5% from 13.1 units in the years leading up to the pandemic. 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