Tampa Housing Starts

[Joseph Burkeson, CMI]

Out today... Ouch!

Housing starts hit record low

Higher unemployment, tight-fisted lending and sagging consumer confidence drove the new-home market to record lows in 2008.

Tampa Bay area builders started construction on 932 homes in the last quarter of 2008, crowning a crummy year in which only 4,730 homes broke ground.

The previous low for annual housing starts was 4,798 in 1991, another recession year that messed up the housing market.

"The fourth-quarter number was the lowest in the 23 years that we've been keeping records," said Tony Polito, a housing consultant in the Tampa office of Metrostudy.

Our region's not alone. Builders broke ground on 904,000 homes nationally in 2008, the Commerce Department reported Thursday. It was the worst year for the industry since they started keeping records in 1959.


Headed south
Tampa Bay area housing starts have plummeted 73 percent since the 2006 boom year. Here's a recent yearly breakdown:
2008: 4,730
2007: 7,244
2006: 17,683
Source: Metrostudy

[Nick Gromicko]

That's a good thing though, too much inventory as it is.

[Joseph Burkeson, CMI]

Originally Posted by gromicko

That's a good thing though, too much inventory as it is.

From another article it appears that when you take the reduction in the population predicted fro this part of Florida we might be looking at a six year backlog on existing, empty unsold homes. Ouch!

[Erol Kartal]

Originally Posted by jburkeson1

From another article it appears that when you take the reduction in the population predicted fro this part of Florida we might be looking at a six year backlog on existing, empty unsold homes. Ouch!

Some are now predicting 2015 before full economic recovery. What a mess..

[Nick Gromicko]

Can anyone explain why # of mortgage applications went up again this week?

[Erol Kartal]

Originally Posted by gromicko

Can anyone explain why # of mortgage applications went up again this week?

Applications are up but what about loan approvals? Existing home sales are still anemic in many areas.

[Nick Gromicko]

I think you are correct Erol. Plenty of buyers, plenty of sellers, no money to lend.

[Erol Kartal]

The rates are so low yet all around me are gorgeous bargains (homes that is) with no takers..

[Joseph Burkeson, CMI]

Originally Posted by gromicko

Can anyone explain why # of mortgage applications went up again this week?

The majority were most likely refis.