Total new-home closings: 8,005
The good: Job growth is at a 10-year high, steadily fueling the need for new housing.
The bad: Builders’ abilities to produce homes priced in the sweet spot (around $200,000) have steadily plummeted from 51% to 33% market share over a three-year period.
The bottom line: With 2014 closing out strong and the first quarter of 2015 hinting at another great year, San Antonio remains a great place to break ground while the job market is growing.
There’s no time for river walks among San Antonio builders as the employment market sets decade-long records at an average of 28,500 new jobs per year—steadily fueling the demand for new homes. Meanwhile, single-family detached homes remain San Antonian’s preference, locking down around 87% of the market. The recipe is great for builders, who posted the highest level of single-family starts since 2007 and the highest number of closings since 2008 in the third quarter of 2014. And while quarter-over-quarter annual starts flattened in the first quarter of 2015, this may be attributed partly to rainfall. That said, even with washed out lots, first quarter 2015 starts posted an 8.8% improvement year over year, to the tune of 752 additional units, with home closings also besting first quarter 2014 levels. The remainder of the year could match or beat new records, as builders dry out and play catch-up.