Since the recession, the multifamily has been the one real estate sector that's seen an increase in starts. But MarketWatch's Andrea Riquier says single family construction is starting to return.
There’s still room for improvement: single-family starts peaked in early 2006 at an annual 1.8 million rate, while the bubble-era peak for multifamily starts was a pace of only 423,000. Now single-family home construction is running at barely half its earlier high, while multifamily is about 87% back.
But single-family should continue to improve.
Builders are increasingly confident about building single-family houses as the economy recovers enough for people to afford to buy, and to buy houses.