New Jersey Residential Building Permits

February 2012

 

According to the latest data from the US Bureau of the Census on housing units authorized by building permits, New Jersey had 1,097 units authorized for construction in February.  This is 431 permits more than the 666 issued in February 2011.  This increase was the result of the rising expectations of homebuilders in the state as demand increases for new owner-occupied and rental housing.

 

Over the month, the number of residential units authorized for construction increased by 142 units or 14.9 percent compared with January’s total of 950.  The number of units authorized for construction went up primarily because more multi-family units are expected to be built.  In February, 466 units were authorized in single-family structures (42.5%) and 631 were for units in multi-family buildings (57.5%).  In January, 408 single-family (42.9%) units and 542 multi-family units (57.1%) were authorized.

 

Essex County led the state with the most issuances of building permits with a total of 168.  Of these, 152 were for multi-family units and 16 were for single-family units.  In Verona Township, 130 multi-family units were proposed.  Union County ranked second, with a total of 167 units including 156 in multi-family structures and 11 single-family homes.  Of the multi-family units, 63 are in Clark Township and 51 are in Rahway.  Somerset County ranked third, with 84 units authorized.  These included 69 multi-family units and 15 single-family units.  A total of 59 multi-family units were proposed for Franklin Township.  In fourth place was Ocean County with a total of 82 units.  This county led the state in the number of single-family homes authorized by permit (70) and were scattered across various municipalities.  Twelve multi-family units were also approved, all located in Jackson Township.  In fifth place was Hudson County where 75 units are planned, including 71 multi-family units and four single-family units. Of the multi-family units, 35 are planned for Secaucus and 24 for Hoboken.

 

The issuance of building permits on a not seasonally adjusted basis in the United States rose by 5,600 or 12.1 percent over the month from 46,300 in January 2012 to 51,900 in February 2012.  In December 2011, 49,900 permits were issued.  Across the United States, building permits were up over the year by 14,700 or 39.5 percent from 37,200 in February 2011.  For the month of February 2012, single-family units accounted for 67.6 percent of the units authorized and 32.4 percent were for multi-family units.

 

New Jersey’s year-to-date total of 2,005 units authorized for construction through February 2012 was up by 386 units or 23.8 percent compared to the February 2011 total of 1619.  The year-to-date total reflects demand for homebuilding in the northern part of the state as three counties (Hudson, Union and Essex) accounted for about one third of the statewide total.  Hudson County tops the list with 259 permits issues, of which 248 were multi-family units.  Union County ranked second, authorizing 217 units, including 189 multi-family units.  Essex County ranked third, with a total of 193 units, including 167 multi-family units.