America's housing is aging, with the median age of homes now at over 40 years old, according to Construction Coverage. However, there was a construction boom that occurred from mid-2020 to mid-2022 due to low interest rates and strong demand. Later in 2022, rising interest rates slowed new construction, but some U.S. regions are still seeing high rates of new building permits.
In the South and Mountain West, population growth and a higher share of buildable land has spurred recent home building activity. Jefferson, Ga., leads with 57.8% of sales from new homes; followed by Boise, Idaho, at 50.3%; Spartanburg, S.C., at 47.8%; Ocala, Fla., at 47%; and Provo, Utah, at 43.4%.
On the other hand, coastal metros and many areas in the Midwest show notably low levels of new construction sales activity. High land costs, restrictive zoning policies, and slower population growth have contributed to this trend. For instance, in major markets like San Diego and Miami, newly-built homes account for around 2% of total sales, among the lowest shares in the country. Similarly, Rust Belt cities such as Cleveland (2.5%) and Pittsburgh (2.2%) also rank at the bottom. These areas tend to have an older housing stock and face challenges like limited available land and less developer interest, making it harder for buyers to find recently built homes. Read more
