(Austin, TX– January 26, 2012) Job growth and stable inventory levels were a positive for the Austin housing economy during 2011, and they may indicate a better year for 2012. This is according to Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

In the 12 months ending in December 2011, 16,100 net jobs were gained in the Austin MSA. “In our view the most promising information from the most recent job figures is the minimal number of jobs lost in the last year in the Government sector. As recently as Spring 2011 reports indicated that job losses in these sectors could be significant in 2011 and 2012,” said Eldon Rude, director of Metrostudy’s Austin Region.

During 4Q11, 1,269 homes were started, up 17% from 4Q10. During that same time, 1,552 homes were closed, up 8% from 4Q10. The annual rate of starts in 4Q11 was 6,105 units, up 5% (261 units) from 4Q10. The annual rate of closings in 4Q11 was 5,941 units, down 7.8% (506 units) from 4Q10. “The annual rate of starts has been generally flat for nearly 3 years. The fact that annual starts exceeded annual closings in 2011 suggests that with inventory levels so low, new demand is resulting in the need to start more homes,” said Rude.

New home inventory stood at 3,047 homes at the end of 4Q11. Inventory has remained around 3,000 for the last three years. “These stable inventory levels, along with healthy resale inventory levels and steady demand, have allowed the building community to maintain pricing through much of the downturn in the industry which began in 2007,” said Rude.

“While we expect the demand fundamentals of continued population and household growth, a tight rental market, and improving consumer confidence will result in greater new home demand in 2012 (as compared to 2011), the continuation of strict mortgage underwriting criteria will serve to limit the increase in new production over what
might otherwise be possible in the coming year,” said Rude.

For information contact:
Eldon Rude @ 512.473.2250 x12
email: erude@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Houston, TX– January 26, 2012) The confidence of the Houston market is beginning to build steam, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

Houston’s unemployment rate dropped to 7.6%, a full percentage point less than the 3Q11 reading. Employment also grew by 3.3% annually. “Behind a surging Energy industry, a strong health care sector and recovering manufacturing and retail industries, six of Houston’s 16 employment sectors have added more than 10,000 jobs in the last 12 months,” said David Jarvis, director of Metrostudy’s Houston division.

Houston homebuilders started 18,417 new homes in 2011, a 2% decline from the 2010 total. But the 4,387 homes started in 4Q11 represent a 24% increase from last year’s tax credit-depressed quarterly starts count. 4,892 new homes were closed in 4Q11, 388 more than 4Q10.

At the end of 2011 the Houston new home market held in inventory fewer than 10,000 homes for the first time since 1997. A 10% decline in new home closings in 2011 resulted in the months of supply of new homes to rise to 6.4 months, above last year’s 5.9 months. “Regardless, builders should be forced to start more homes in 2012 in order to keep pace with the growing demand brought on by the health of the Houston economy,” said Jarvis.

“The building blocks for strong economic fundamentals continue to stack up in favor of the Houston market, but the headwinds of 2011 persist as 2012 begins. But based on the job growth of the last 12 months, the tight housing supply and the building confidence of the Houston market should lead to an increase in new home starts through the end of 2012.”

For information contact:
David Jarvis @ 713.622.9909 x 132
email: djarvis@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Roseville, CA– January 25, 2012) The Central California economy continues to struggle, but indicators suggest a cautious economic improvement through 2012, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

“The Central California economy experienced a gradual improvement in the job loss situation during 2011,” said Greg Gross, director of Metrostudy’s Central California Region. The total number of employed is nearly 1% more than in November 2010, pointing to stabilization.

“However, the improving job market has yet to positively impact the new home market,” said Gross. “It appears we have reached the bottom of the market as paces are stabilizing and both quarterly starts and closings decreased during 4Q11.” Annual housing starts are down 22% to 3,069 from 4Q10 in the Central Valley, while closings are off by 34% to 3,334. Additionally, our average “offer to build” base price for new single family detached homes has dropped to $251,000, down 1.6% compared to 4Q10.

Finished inventory of homes has retreated impressively from the highs reached in 4Q06. With 1,011 Finished vacant homes this quarter, the market has 3.6 months of supply. Finished vacant units are beginning to recede, as starts surpass new lot deliveries this quarter. With 27,701 finished lots, months of supply have jumped to 108 with the continued slowdown in annual starts.

“Metrostudy expects the Central Valley housing market to remain weak for the next year with stronger signs of improvement by the end of 2012,” said Gross. “Kern, Tulare and San Joaquin Counties are the most stable and consistent housing markets in all of Central Valley through 2011 and will continue to lead the Central Valley growth during 2012.”

For information contact:
Greg Gross @ 925.826.3801
email: ggross@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Northern California– January 25, 2012) The Bay Area continues to improve and is beginning to show signs of continued growth, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

The overall Bay Area economy has been showing signs of slight growth this year. “Through November the region added 52,800 jobs of which nearly 46,000 were in the Bay Area and 7,000 in Sacramento,” said Greg Gross, director of Metrostudy’s Northern California Region. The region’s job market is stronger than most throughout the state, but the prior losses were significant.

Northern California Annual Housing starts are down less than 1% to 4,956 from 4Q10, while closings are down 40% to 5,382. However housing starts have increased during the second half of 2011, suggesting improving demand, especially in the Bay Area. Closings have been outpacing starts for more than three years now. As a result, inventory levels are now below equilibrium, more so in the Bay Area where single family detached inventory figures are substantially below equilibrium now.

Finished inventory of housing has been steadily decreasing during 2011, with 3,164 finished vacant homes. The market now has 7.2 months of supply. Compare to single family detached inventory with only 854 finished vacant and a 2.8 month supply.

The inventory level of attached product has declined slightly, with 2,310 finished and vacant units, a 16.7-month supply, with the majority in the Bay Area. “Lot deliveries in Northern California have slowed over the past few years, which is helpful for those inventory levels,” said Greg Gross. “However, an increase in development during 3Q11 and 4Q11 brought up the total vacant developed lots to 22,372, while months of supply decreased to 73.5.”

“Metrostudy expects the Bay Area housing market to continue improving through 2012 as the job situation gradually improves and housing inventory shrinks, but we are less optimistic with the Sacramento market as continued job losses and weak demand will strain growth,” said Gross.

“It appears the market has bottomed out and will continue to evolve through 2012 and most likely show significant and notable signs of improvement by the end of the year,” said Greg Gross.

For information contact:
Greg Gross @ 925.826.3801
email: ggross@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Salt Lake City, UT– January 25, 2012) In the Greater Salt Lake market, job growth and positive signs in the housing market indicate potential improvement at the end of 2011, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

The Greater Salt Lake market continues to outshine the national economy, as far as job growth is concerned. As of December 2011, the Greater Salt Lake market had created 31,300 new jobs during the previous 12 months, a growth rate of 3.2%. “This is a major improvement when compared to the 6,100 jobs at this time last year,” said Eric Allen, director of Metrostudy’s Utah/Idaho Region.

The Greater Salt Lake market is beginning to pick up speed with annual new home starts increasing 1.7% compared to last quarter. Annual new home closings are down 16.8% from last year at this time, however have increased .9% from last quarter’s pace. “Metrostudy anticipated an increase would come in the second half of the year as traffic and contracts increased during the summer, along with the growing economy, low interest rates and the absence of closeable inventory,” said Allen.

“While detached inventory appears to be well managed, the attached market remains weak in housing, more specifically condos,” said Allen. At the end of 2011, there were 2,046 new detached single family homes in inventory, a 7.1 month supply. Finished vacant inventory decreased another 12.7% from last year to 568 homes, a 2 month supply. There are 2,452 attached (for sale) units in inventory, a 23.1 month supply.

“While overall new home starts have decreased from 2010, (due to the slowdown in the attached market), detached starts have increased for the past three quarters, a good indication that builders still have confidence in the market,” said Allen.

“The consensus among market professionals seems to be that the worst is behind us. Assuming the economy continues with slow improvements, and resale’s, foreclosures and home values remain relatively static, Metrostudy expects builders to continue increasing production through 2012, “said Allen.

For information contact:
Eric Allen @ 801.571.7700 x424
email: eallen@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(St. George, UT– January 25, 2012) The St. George MSA saw slight improvements in production and inventory during 4Q11, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

As of December 2011, the St. George market had lost -400 jobs throughout all of 2012. “This is a significant decrease when compared to the 400 jobs created at this time last year, and worse than the -100 jobs lost during the previous month,” said Eric Allen, director of Metrostudy’s St. George Division. “While the market remains volatile, economic projections for 2012 appear to be more positive, with the recent announcement of potential companies expanding to the area,” said Allen.

The St. George market area started a total of 149 new homes during 4Q11 compared to 92 that were started in 4Q10. Annual starts of new homes decreased 3.8% to 581 when compared to last year’s pace, however this pace has increased 10.9% from last quarter. “While annual new home starts decreased from 2010, starts in 4Q11 improved, a good indication that builders may still have some confidence in the market,” said Allen. There were 161 new home closings during 4Q11, up from 119 during 4Q10. The annual closing pace decreased 22.1% from 4Q10 to a current total of 600, and up from 558 recorded last quarter.

At the end of 2011 the St. George market had 376 new homes in inventory, a decrease of 4.9% compared to last year. Of this total, 271 homes are single-family detached homes, a supply of 6.3 months. Finished vacant inventory continues to decrease and now totals 79 homes, 23.3% fewer than last year. “While detached inventory appears to be well managed, the attached market remains the weak area in housing,” said Allen.

“The consensus among market professionals seems to be that the worst is behind us. Assuming the economy continues with slow improvements, and resale’s, foreclosures and home values remain relatively static, Metrostudy expects builders to continue increasing production through 2012,“ said Allen.

For information contact:
Eric Allen @ 801.571.7700 x424
email: eallen@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Boise, ID– January 25, 2012) The Boise market saw an increase in jobs and healthy housing inventories during 4Q11, but production and consumer confidence continue to wane. This is according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

According to the most recent numbers released by BLS, the Boise MSA saw 6,100 new jobs created during 2011, which is a major improvement compared to the -4,500 jobs lost throughout 2010. “While the job numbers appear to be positive, there has been little improvement in consumer confidence, which needs a significant boost in order to stimulate the economy,” said Eric Allen, director of Metrostudy’s Utah/Idaho Region.

There were a total of 1,412 new homes started throughout 2011, a decrease of 4.7% when compared to 2010. While new home production remains low, the market is beginning to pick up speed, with annual new home starts increasing 8.5% compared to last quarter. Annual new home closings were down 26.9% from last year at this time; however they have increased 2.1% from last quarter’s pace.

As of 4Q11, there are a total of 1,063 new homes in inventory, an increase of 5.1% compared to last year. While the supply of homes increased from 5.5 months in 4Q10, the current level is still considered to be within equilibrium. Inventory for homes under construction increased 15.6% from a year ago to 333, a 3.2 month supply. “This increase is another trend signaling that construction is improving,” said Allen.

“The consensus among market professionals seems to be that the worst is behind us. Assuming the economy continues with slow improvements, and resale’s, foreclosures and home values remain relatively static, Metrostudy expects builders to continue increasing production through 2012,“ said Allen.

For information contact:
Eric Allen @ 801.571.7700 x424
email: eallen@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Reno, NV– January 25, 2012) 2011 was a volatile year, but the Reno market is demonstrating signs of continued economic growth, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

The total number of employed has increased nearly 2% since July 2011, which may suggest the worst is over for now. “It is worth noting job growth has occurred for each of the past five months and continued to improve through November,” said Greg Gross, director of Metrostudy’s Reno Region.

“Resale inventory levels remain high, with bank-owned and foreclosed homes saturating the market and preventing prices from rising significantly,” said Gross.

Through 2011, annual new home closings were 516, 18% less than in 2010. “Total new housing inventory has also been declining since the peak of 2006 as builders rid themselves of standing and under construction inventory,” said Gross. Only 417 new homes were started in the past 12 months compared to 3,500 starts in 2007.

With 246 finished vacant homes, the Reno housing market has nearly 6 months of supply. The number of finished vacant homes has decreased 22% over the past 12 months. Three months of finished supply is ideal.

“The Reno housing market demonstrated signs of stabilization in 2011 and even a few recovery indicators,” said Gross. “2011 ended up in a better overall market than when the year began. However 2012 will continue to be a slow year for the surviving builders as there is not much on the horizon that will trigger any significant rebound in the Reno housing market.”

For information contact:
Greg Gross @ 925.826.3801
email: ggross@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

(Las Vegas, NV– January 25, 2011) The Las Vegas economy continues to show signs of economic improvement through 2011, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

“Job growth has been elusive over the past three years but continues to improve through November, adding 15,300 jobs,” said Greg Gross, director of Metrostudy’s Las Vegas Region. Overall employment is up nearly 2% from one year ago. Recovery in the broader national economy is a key issue for Las Vegas as the market is poised to be one of the early recovery markets.

“Even as weakness continues, Vegas remains much more diversified today than in years past, and if 2011 is any indictor, the job market should continue to improve,” said Gross. The unemployed population surpassed 14% and now stands at 12.5%.

Through 2011 annual single-family new homes closings were 3,493. There were 1,818 new home starts during 3Q11 and 4Q11 compared to 1,596 starts during the last quarters of 2010. That’s an increase of 14%. “This means that inventory levels remain in check, if not a little low,” said Gross.

Total attached housing is 75% of all housing inventory this year. “The market continues to suffer with excessive mid rise and high rise projects that, when conceived, simply had no real occupancy demand,” said Gross. The finished vacant attached product represents 75% of all attached inventory.

“As 2011 has demonstrated, the Las Vegas housing market has stabilized and is beginning to improve, albeit slowly,’” said Gross. “The last half of 2011 proved to be busier than 2010, which will help spur better confidence in the market.”

For information contact:
Greg Gross @ 925.826.3801
email: ggross@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

As we close out yet another year, the resounding sentiment in the market seems to be “Goodbye 2011, looking forward to a fresh start with 2012.”

If there’s one prediction that has been realized during this recession, it has been that a slow and painful recovery was what we thought…and a slow and painful recovery is what we got.  Many industry professionals had been forecasting for the past few years that the housing industry would take many years to recover from the damage that was done to the market from 2005-2007.  A slow recovery has typically been the only prediction consistent among these individuals.  For the last 12 months, within our primary housing research, we (Metrostudy) have noted that many micro areas within larger metro areas are fully engaged in recovery mode, or in some instances have already recovered.  This does not discount the fact that there are still many areas across the country still feeling the pain of the recession. Read the rest of this entry »