The number of building permits pulled for new single-family home construction in Wisconsin was down 7% during the first quarter, compared to a year ago, to 2,713, according to the
Wisconsin Builders Association. During the first quarter of 2022 there were 2,917 permits pulled in the state for new home construction.
Continued high building costs, regulatory burdens, and high mortgage rates are to blame for the decline, the Wisconsin Builders Association said. However, an uptick of building in March has builders optimistic for what is to come this spring and summer, the association said.
“Like so many other industries, homebuilding has had to keep up with inflation so the cost of building a new home has not decreased,” said WBA president Mike Howe. “However, our National Association of Home Builders and the Wells Fargo Housing Market Index is showing that due to a limited number of existing homes, the industry is poised to continue to do well, and we’re looking forward to seeing where we are at the end of second and third quarter.”
Despite the slower start to the year, home construction continues to exceed pre-pandemic levels. The state just over 1,900 home starts during the first quarter of 2020, according to the WBA.
In southeastern Wisconsin, Milwaukee County and Racine County saw significant growth in new home construction during the first quarter, while other parts of the region saw a slowdown in home construction to start the year.
First quarter single-family home building permits per county (compared to first quarter of 2022):
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Milwaukee - 104, up 96.2%
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Racine - 70, up 48.9%
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Washington - 45, down 10%
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Kenosha - 32, down 23.8%
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Walworth - 50, down 24.2%
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Waukesha - 143, down 43%
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Sheboygan - 20, down 44.4%
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Ozaukee - 52, down 46.9%
