Which Metros Are Permitting New Homes the Fastest?
After ballooning through the 1990s and early-2000s, the Great Recession decimated new home development in 2008. The construction industry has been recovering steadily since then, but has not yet reached pre-recession levels. The mix of new homes has also shifted a bit from single-family to larger multi-family complexes. But while multi-family construction has become increasingly important to the future of affordability, not all U.S. cities are taking part in the construction boom. Many are attracting new residents and new jobs at a much faster pace than they are building new homes.
The chart below shows per-capita new home permitting across the nation's 50 largest metropolitan areas. Austin, TX is currently permitting faster than anywhere else: 15 units per 1,000 residents in 2023. Additionally, over half of those permits are for multi-family homes, something rarely seen before the Great Recession.
Metro-Level Building Permits Data: 2023
| Rank | Metropolitan Area | Permits per 1,000 Residents, 2022 | Share Single-Family | Share Multi-family |
|---|---|---|---|---|
| 1 | Austin-Round Rock, TX | 15.0 | 45% | 55% |
| 2 | Raleigh, NC | 13.9 | 58% | 42% |
| 3 | Jacksonville, FL | 12.0 | 61% | 39% |
| 4 | Nashville-Davidson--Murfreesboro--Franklin, TN | 11.2 | 62% | 38% |
| 5 | Charlotte-Concord-Gastonia, NC-SC | 10.8 | 63% | 37% |
| 6 | Orlando-Kissimmee-Sanford, FL | 9.2 | 67% | 33% |
| 7 | Houston-The Woodlands-Sugar Land, TX | 9.2 | 73% | 27% |
| 8 | Phoenix-Mesa-Scottsdale, AZ | 8.9 | 55% | 45% |
| 9 | Dallas-Fort Worth-Arlington, TX | 7.8 | 63% | 37% |
| 10 | Richmond, VA | 7.5 | 47% | 53% |
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