Kelly Mangold, of RCLCO Real Estate Consulting, said that new home sales remain strong, “which reflects market optimism and indicates that as supply chain issues resolve, we are likely to see a similar surge in starts.”
Read more: Home sales to hit a new high in 2022 – Realtor.com
Building permits were running at an annualized pace of 1.71 million, up by 3.6% from October (1.65 million permits) and were 0.9% higher than November a year ago (1.70 million). Single-family authorizations posted a 2.7% month-over-month gain to 1.10 million, and multifamily authorizations were at a rate of 560,000 in November.
“Millennials continue to make up the greatest share of home loan applicants, and this sizeable generation represents a significant share of the for-sale market,” Mangold said. “Millennials have entered family-formation years in a unique time when remote work is more widely embraced, and they may be looking for additional space for a growing family and a home office. The for-sale market is likely to be more active than a typical holiday buying season, as households continue to look for homes in a competitive market.”