Pennsylvania housing permits show increase of 14% over 2011
Published: November 30, 2012
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Permitting of new homes throughout the state of Pennsylvania continues to rise. The overall comparison shows a year-to-date 14 percent gain over the monthly permit data from 2011.
Based on October’s numbers from the Census Bureau, there were 1,349 permits for single family homes issued, versus the 1,045 in October of 2011.
According to Pennsylvania Builders Association President Warren Peter, “These gains correspond with the gradual increase in both builder and consumer confidence, and confirm that although we still have a ways to go, a housing recovery is solidly underway in Pennsylvania.”
Pennsylvania’s numbers are also reflective of housing starts and permits nationwide, according to the National Association of Home Builders (NAHB). In October NAHB reported that nationwide production and permitting of new homes rose 15 percent - to the highest level in more than four years.
There are still challenges facing the housing industry – like credit availability and appraisal issues, as well as the increasing cost of building homes due to rising materials prices, but we are optimistic that the trend will continue. The housing industry contributes to job creation and economic growth and has helped to lead the economy out of past recessions.” said Peter.
The National Association of Home Builders (NAHB) estimates that three jobs are created for each new single-family home that is built, with about half being in the construction industry and the rest in other industries that are needed to outfit and sell a home such as furniture, appliances, textiles, loan officers and lawyers. A total of $90,000 in government revenue is generated — $67,000 in federal taxes and $23,000 in state and local taxes.
“Additionally, income that is earned from construction activity is spent and recycled in the local economy, and the new homes that are built are occupied by residents who pay taxes and buy locally produced goods and services. Those tax revenues help pay for a wide range of government services, including local school teachers, police departments and road repairs. The trickle-down effect that the industry generates is incredible, said Peter.”