A forecast from HomeAdvisor says that single-family starts will increase 12.2 percent to 900,000 units this year, while multifamily construction will drop 10.7 percent to 343,000.
Job growth, rising household formations, surging mortgage rates, and labor shortages all factored into the prediction.
The site also performed two simulations that predicted home production. Total housing starts reached 1.4 million in 2017 in the “Overshoot” scenario, where builders construct more aggressively. The “Slow Climb” scenario, which anticipates conservative building, estimates that total starts will reach 1.3 million in 2019.
