Housing permits approved by state per capita

[GON]

This is an interesting article. The article discusses approved housing permits by state, per capita.

This article may help connect the dots for a state such as Illinois. Illinois has lost population for eleven consecutive years. Much of Illinois's housing had static and/ or negative appreciation from 2006-2022, while the rest of the nation had significant rise in real estate values. In 2023 Illinois started having rise in real estate prices. This can be said for other upper Midwest and northeast states which missed a lot of the single-family home prices increases over the past decade, but became a hot market starting 24 +/- months ago.

Using Illinois as the example- Illinois had the second lowest new building permit approved for residences in the nation. This made a shortage of housing, even with a declining population- thus an increase in house sale prices and lowering of time of homes for sale on the market.

The other side of the coin, states with high per capita residential building permit approvals, may be ripe for significant house price appreciation if the building permit approvals have a significant reduction.

The below link to the article has a dynamic graphic- place your mouse over your state to display the data:

Building not permitted: Building permits in Illinois are a barrier to housing affordability

Illinois is in the midst of a housing affordability crisis. Over a third of residents are considered “burdened” by housing costs, meaning they pay over 30% of their income on costs related to housing. That is a greater portion of residents burdened by housing than any other state in the Midwest...

www.illinoispolicy.org

 

[JohnnyG]

I wish they would deny some construction here!
Somebody is getting paid big time.

 

[BMWTurboDzl]

This is an interesting article. The article discusses approved housing permits by state, per capita.

This article may help connect the dots for a state such as Illinois. Illinois has lost population for eleven consecutive years. Much of Illinois's housing had static and/ or negative appreciation from 2006-2022, while the rest of the nation had significant rise in real estate values. In 2023 Illinois started having rise in real estate prices. This can be said for other upper Midwest and northeast states which missed a lot of the single-family home prices increases over the past decade, but became a hot market starting 24 +/- months ago.

Using Illinois as the example- Illinois had the second lowest new building permit approved for residences in the nation. This made a shortage of housing, even with a declining population- thus an increase in house sale prices and lowering of time of homes for sale on the market.

The other side of the coin, states with high per capita residential building permit approvals, may be ripe for significant house price appreciation if the building permit approvals have a significant reduction.

The below link to the article has a dynamic graphic- place your mouse over your state to display the data:

Building not permitted: Building permits in Illinois are a barrier to housing affordability

Illinois is in the midst of a housing affordability crisis. Over a third of residents are considered “burdened” by housing costs, meaning they pay over 30% of their income on costs related to housing. That is a greater portion of residents burdened by housing than any other state in the Midwest...

www.illinoispolicy.org

Unless I missed it the article doesn't notate the rejection rate of permits or the ratio of multifamily to single family. The article is all over the place it seems to be making an argument over something that isn't addressing the root causes like say zoning and taxation.

 

[SevenBizzos]

While the number of single family building permit applications isn't what it is in other states, there is a huge demand here for rentals. The next generation up prefers renting and we have multi-family buildings going up everywhere. Illinois Policy is useful for getting information about how your government is working (or not), but that comes from a pretty politically biased position - so know that going in.

 

[PWMDMD]

I was shocked to learn that my town in Massachusetts has absolutely no authority to deny a building permit so long as the land is appropriately zoned and the person/entity applying owns the land. Neighboring towns closer to Boston have boomed over the last 10 years to the point where schools were bringing in trailers for classrooms and there was nothing the town could do to slow down construction.

This unrestricted building has done nothing to lower the price of homes here.

 

[97prizm]

This is an interesting article. The article discusses approved housing permits by state, per capita.

This article may help connect the dots for a state such as Illinois. Illinois has lost population for eleven consecutive years. Much of Illinois's housing had static and/ or negative appreciation from 2006-2022, while the rest of the nation had significant rise in real estate values. In 2023 Illinois started having rise in real estate prices. This can be said for other upper Midwest and northeast states which missed a lot of the single-family home prices increases over the past decade, but became a hot market starting 24 +/- months ago.

Using Illinois as the example- Illinois had the second lowest new building permit approved for residences in the nation. This made a shortage of housing, even with a declining population- thus an increase in house sale prices and lowering of time of homes for sale on the market.

The other side of the coin, states with high per capita residential building permit approvals, may be ripe for significant house price appreciation if the building permit approvals have a significant reduction.

The below link to the article has a dynamic graphic- place your mouse over your state to display the data:

Building not permitted: Building permits in Illinois are a barrier to housing affordability

Illinois is in the midst of a housing affordability crisis. Over a third of residents are considered “burdened” by housing costs, meaning they pay over 30% of their income on costs related to housing. That is a greater portion of residents burdened by housing than any other state in the Midwest...

www.illinoispolicy.org

My parents are seeing this in Colorado. Three years ago the homes in their neighborhood were $275-$325,000 now are selling for a half million. They're going to have to probably increase their insurance.

 

[Allaneddie]

What's up with Idaho and Utah? Florida and South Carolina I understand,

 

[dnewton3]

What's up with Idaho and Utah? Florida and South Carolina I understand,

I recently spoke with a person who moved out of ID; she mentioned that the influx of CA residents into ID was what made her family move out of the state. They are running up housing prices.

Also realize that low population density states which see some building boom will have a high index value on the "per capita" basis.

 

[Pew]

Losing population? Easy fix, tax those who are leaving!

 

[alarmguy]

I was shocked to learn that my town in Massachusetts has absolutely no authority to deny a building permit so long as the land is appropriately zoned and the person/entity applying owns the land. Neighboring towns closer to Boston have boomed over the last 10 years to the point where schools were bringing in trailers for classrooms and there was nothing the town could do to slow down construction.

This unrestricted building has done nothing to lower the price of homes here.

Much the same here. If land is approved for a certain use, using it for that purpose cannot be denied.
That seems fair to me, people who own and bought said property, values were set by what they were zoned for. Having invested in that property and then to deny them that use is criminal

 

[Mainia]

Losing population? Easy fix, tax those who are leaving!

How totalitarian of you!!

 

[Pew]

How totalitarian of you!!

But who else is going to pay for the governor's third mansion?

On a more serious note, of you're not Black Rock, DR Horton, or some other big name developer, you're going to be waiting a very long time here. Trying to build one yourself here, now, in the far suburbs of Chicago, from just a lot is too costly and too long.

 

[RichR]

Losing population? Easy fix, tax those who are leaving!

Don't give "Them" any ideas.
Next they will tax our taxes.
I need a few more years then I can hit the door.
The bad thing is I have family here and in a red state but by the time I get there it will be the SOS!

 

[BMWTurboDzl]

What's up with Idaho and Utah? Florida and South Carolina I understand,

California expats

 

[PWMDMD]

Much the same here. If land is approved for a certain use, using it for that purpose cannot be denied.
That seems fair to me, people who own and bought said property, values were set by what they were zoned for. Having invested in that property and then to deny them that use is criminal

No, I get it. It was more in the context of hearing stories about other states/towns denying or slowing the issuing of building permits. I'm in what was a sleepy town of 17k but the building here is insane right now with +$1M homes going up everywhere. There are plans for a large 500-unit condo complex near the center of town. Main Street is already a nightmare during rush hour and our three elementary schools are at capacity. There is a Starbucks is going in and I'm guessing we are just a year or two from having a Whole Foods. We still have a tremendous amount of undeveloped land along roadsides here so the next 10 years will be interesting. I've always lived in towns that were already fully developed decades ago with very little new construction so this is all new to me.

 

[SevenBizzos]

But who else is going to pay for the governor's third mansion?

On a more serious note, of you're not Black Rock, DR Horton, or some other big name developer, you're going to be waiting a very long time here. Trying to build one yourself here, now, in the far suburbs of Chicago, from just a lot is too costly and too long.

We have several 400k-500k townhome developments going up and the units are sold before construction is completed.