The Norman Transcript

Headlines

January 19, 2013

Back to building

WASHINGTON — The aftermath of the housing bust forced many homebuilders to dramatically scale back construction on new homes to avoid the risk of ending up saddled with a trove of newly built, yet unsold properties.

But an improving housing market has homebuilders feeling more confident about sales, and that’s likely to kick the pace of new construction into a higher gear this year.

The Commerce Department said Thursday that builders broke ground on houses and apartments last month at a seasonally adjusted annual rate of 954,000. That’s 12.1 percent higher than November’s annual rate. And it is nearly double the recession low reached in April 2009.

Construction increased last month for both single-family homes and apartments. And the pace in which builders requested permits to start more homes ticked up to a 4 1/2 year high.

For the year, builders started work on 780,000 homes. That’s still roughly half of the annual number of starts consistent with healthier markets. But it is an increase of 28.1 percent from 2011. And it is the most since 2008 — shortly after the housing market began to collapse in late 2006 and 2007.

Steady hiring, record-low mortgage rates and a tight supply of new and previously occupied homes available for sale have helped boost sales and prices in most markets. That has persuaded builders to start more homes, which adds to economic growth and hiring.

David Williams, a homebuilding analyst with Williams Financial Group, says builders are very closely tied to what’s happening in the housing market and they’re going to build homes to meet demand, but not go overboard.

“I don’t think, at this point, that they’re going to overbuild,” Williams said, noting that homebuilders are still holding back on building too many spec homes, or properties built before they’re sold.

Having some spec homes can help sales, especially when a buyer isn’t willing to wait several months for their home to be built. Builders tend to put up more of those homes heading into the spring home-selling season that traditionally begins next month.

Text Only | Photo Reprints
Headlines
  • Bridge Businesses try to survive while bridge is closed

    Ray Cole wonders every day if his business will have to close. Cole is one of many Lexington and Purcell business owners struggling financially since the 76-year-old James C. Nance Memorial Bridge closed Jan. 31. The Oklahoma Department ...

    April 15, 2014 1 Photo

  • Storm scavengers now could face felony charges

    OKLAHOMA CITY— It wasn’t long after a devastating tornado hit Moore last year that scavengers were circling the wreckage. Already reeling, Moore residents had a new concern — fending off looters....

    April 15, 2014

  • Norman teachers excited about professional development

    Norman Public Schools’ teachers are focused on students and want to take advantage of professional development, Beth Spears, director of Staff Development and Student Achievement, said was the overall response teachers had to a recent ...

    April 15, 2014

  • Social justice dialogue part of University of Oklahoma program

    The University of Oklahoma kicked off Justice Week with a public forum Monday titled “Luis Rodriguez: No en Vano.” Critically acclaimed author, Esmeralda Santiago discussed the “Transformative Power of Art,” while joining five panelists ...

    April 15, 2014

  • Norman High Speech and Debate Team wins state championship

    Briar White’s heart pounded in his chest as he clasped the hands of several classmates and Booker T. Washington High School was announced as the second-place finisher. White said he was elated to hear second place announced because he ...

    April 16, 2014

  • General fund continues to decline as expenses exceed anticipated revenues

    Norman’s expenses will again outstrip projected revenue in the current budget before the city council. The budget for the fiscal year that starts in July and ends June 30, 2015, projects $210,982,020 in total revenues and $213,436,778 in ...

    April 16, 2014

  • Norman students accepted to arts institute

    OKLAHOMA CITY — Forty-nine Norman high school students have been accepted to the Oklahoma Summer Arts Institute at Quartz Mountain, an arts academy hosted June 14-29 in southwestern Oklahoma. The Norman students were among 270 artists ...

    April 16, 2014

  • Ukraine bares teeth against eastern uprising

    KRAMATORSK, Ukraine — In the first Ukrainian military action against a pro-Russian uprising in the east, government forces repelled an attack Tuesday by about 30 gunmen at an airport, beginning what the president called an “anti-terrorist ...

    April 16, 2014

  • Supremacist faces murder charges

    OVERLAND PARK, Kan. — The white supremacist charged in shootings that left three people dead at two Jewish community sites in suburban Kansas City made his first court appearance Tuesday....

    April 16, 2014

  • Oklahoma Senate approves limits on abortion drug

    OKLAHOMA CITY — The Oklahoma Senate voted overwhelmingly Tuesday to further restrict the use of abortion-inducing drugs in Oklahoma in a bill written in direct response to a recent state Supreme Court decision....

    April 16, 2014