Jun 23, 2022 - Real Estate

NWA builds even as housing costs skyrocket

Illustration of a plywood house that is also an upward arrow.
Illustration: Maura Losch/Axios

The Northwest Arkansas metro issued 29.8 single-family building permits per 10,000 people in the first quarter of 2022, the latest analysis by real estate company Redfin shows.

Why it matters: As the number of homes for sale remains near all-time lows and monthly mortgage payments are near their record high, building more housing is one way to ease the affordability crisis.

Data: Redfin; Note: Northwest Arkansas did not meet the population threshold for Redfin's analysis; Table: Thomas Oide/Axios
Data: Redfin; Note: Northwest Arkansas did not meet the population threshold for Redfin's analysis; Table: Thomas Oide/Axios

Zoom out: Single-family and multifamily building permits are up from pre-pandemic levels in most U.S. metros, Redfin found.

  • Of note: Redfin defines "single-family" as buildings with one to four units and "multifamily" as buildings with five or more housing units.

Yes, but: "There still aren't enough homes to meet the pace of household creation, and we need to be more prepared when demand inevitably picks back up," said Redfin chief economist Daryl Fairweather.

The bottom line: Ramping up new home construction will help move the market toward balance, if only a little.

avatar

Get more local stories in your inbox with Axios NW Arkansas.

🌱

Support local journalism by becoming a member.

Learn more

More NW Arkansas stories

No stories could be found

NW Arkansaspostcard

Get a free daily digest of the most important news in your backyard with Axios NW Arkansas.

🌱

Support local journalism by becoming a member.

Learn more