The construction industry is a great example of an indicator of what to look forward to. For example if there’s a boom in commercial construction, we can think of business growth and job opportunities. The same happens with warehouse constructions or residential constructions. Every change in the construction industry has to be read in order to predict certain impacts in the area we are studying or in the whole country.
However, when we look at the statistics of residential constructions, we are looking at specific changes not only in the industry but on the people itself. Of course these variances could be caused by employment rates or by new tax benefits and legislation. But in most cases, these reflections we can perceive, talk about variations on the culture, migratory patterns, people’s preferences, solvency or desirability of geographic locations. So let’s take a look at the last trends we have in our power.
Total Residential Building Permits by Metro Area 2018
“Building Permits refer to the approvals given by local jurisdictions before the construction of a new or existing building can legally occur”, according to TradingEconomics.com.
Giving the number of permits and percentage variances since 2017, we can see the locations that had shown growth in the last period (2017-2018), following.
Dallas-Fort Worth-Arlington, TX +1.43%
Houston-The Woodlands-Sugar Land, TX +34.5%
Atlanta-Sandy Springs-Roswell, GA +15.7%
Phoenix-Mesa-Scottsdale, AZ +6.9%
Austin-Round Rock, TX +11.3%
Orlando-Kissimmee-Sanford, FL +51.5%
Seattle-Tacoma-Bellevue, WA +2.3%
Charlotte-Concord-Gastonia, NC-SC +9.1%
Miami-Fort Lauderdale-West Palm Beach, FL +5.2%
San Francisco-Oakland-Hayward, CA +4.3%
Minneapolis-St. Paul-Bloomington, MN-WI +16.3%
Raleigh, NC +12.5%
Jacksonville FL +19.2%
The Orlando metro area registered an increase of 51.5 % compared to the number of construction permits in 2017. In this way, the Central Florida metro area took the 8th place in the country. Experts attribute the growth to an augmented demand from retirees, a better local tax environment and promising medical and tech sectors.
Following, the Houston metro area had an increase of 34.5 % in permits. This was fueled by rebuilding due to the Hurricane Harvey and to a fertile ground for the oil and gas industry.
¿But how does a construction permit work?
If you are about to request a building permit, you should know they are not always necessary. A building permit is intended to ensure that your plans for the project will comply with local regulations or policies, standards for land use, construction or zoning.
When you shouldn’t ask for a building permit
- Simple repairs or replacements.
- If you are hiring a contractor, most probably they will do it for you.
When you should ask
- If the project involves additions or major changes to your home’s structure.
How to apply for a building permit
- Contact your local building office and tell them the whole idea.
- Besides preparing the building permit, prepare any other permit you may need for specific jobs, such as electrical.
- Once you begin, tap the permit to a window or door next to the building.
- At some points, call the designated inspector to verify everything is going well.
- Once the inspector has approved the work, you no longer need to display the permit.
Lucrative opportunities are waiting for new investors in the growing zones in the US. If you have doubts or want to share your experience related to building permits, let us know.