Residential Building Permits Summary
According to the latest data from the US Bureau of the Census on housing units authorized by building permits, New Jersey had 1,941 units approved for construction in December. This is 106 units less than the 2,047 issued in December 2013. This is 106 units or 5.2 percent less than the 2,047 issued in December 2013. The over-the-year loss resulted from fewer authorizations of units in multi-family (-97 or -8.0%) and single-family (-9 or -1.1%) structures. In December 2014, multi-family units accounted for 57.8% of approvals while 42.2 percent were single-family.
Over the month, the number of residential units authorized for construction rose by 139 units or 7.7 percent compared with November’s revised total of 1,802. The gain took place because more multi-family (113 or 11.2 percent) and single-family (26 or 3.3 percent) units were approved in December. Permitting for multi-family housing tends to fluctuate more from month to month than approvals for single-family homes. This is mainly because multi-family units are often built in large batches.
Union County led the state in the most issuances of building permits with a total of 245 including 217 units in multi-family structures and 28 single-family houses. The municipalities in the county with the most approvals were Rahway (116) and Linden (48). In Rahway, permits were issued for 115 multi-family residences and one single-family house. All of the units authorized for Linden were multi-family.
In second place among the state’s 21 counties was Camden where 230 units were authorized, including 215 multi-family units and 15 single-family houses. Approvals were concentrated in the City of Camden where 189 units were proposed, all in multi-family housing.
Third place was held by Hudson County, where a total of 209 units were planned, including 152 units in multi-family structures and 57 single-family houses. Jersey City led the county’s municipalities in authorizations with 115 residences, including 62 in multi-family structures and 53 single-family houses.
The county in fourth place was Ocean where a total of 197 units were permitted, including 181 single-family houses and 16 multi-family residences. Leading the county’s municipalities in authorizations were Lakewood Township (36) and Toms River Township (33). In Lakewood Township 23 single-family and 13 multi-family units were proposed, while in Toms River Township 30 single-family and three multi-family units were authorized. Bergen County held fifth place with 184 approvals, including 120 units in multi-family structures and 64 single-family houses. Permit issues were scattered among the county’s 70 municipalities.
Nationally, the issuance of building permits on a not seasonally adjusted basis was 83,457 in December 2014, an increase of 12,207 units or 17.1 percent from the prior month. Across the United States, building permits were up over the year by 7,972 or 10.6 percent from December 2013. For the month of December 2014, single-family houses accounted for 55.0 percent of the units approved, while 45.0 percent were multi-family.
New Jersey’s total of 28,117 units authorized through December 2014 was up by 3,918 or 16.2 percent compared to the December 2013 total of 24,199. The year-to-date total reflects homebuilding in the northern part of the state as two counties (Hudson and Bergen) accounted for 28.8 percent of the statewide total. Hudson County tops the list with 4,681 permit issues of which 4,405 were multi-family and 276 were for single-family units. Bergen County ranked second, with a total of 3,415 units, of which 2,425 were multi-family and 990 were single-family.
The top municipality in the state for permit issues is Jersey City, located in Hudson County. The city authorized a total of 2,180 units, including 1,979 in multi-family housing and 201 single-family houses. Located across from Manhattan, Jersey City is a desirable location for workers employed there. In second place was Toms River Township in Ocean County where a total of 746 units including 708 single-family residences and 38 units in multi-family housing were authorized. Located near the Atlantic coast, Toms River is a popular vacation and retirement destination. The township ranked first among the state’s municipalities in single-family authorizations. Middlesex County’s New Brunswick ranked third for total housing authorizations in the state with a total of 746 issues including 719 units in multi-family structures and 9 single-family houses. It is home to the main campus of Rutgers University where the student population is an important driver for housing demand.
Across the United States, 1,038,491 units were authorized on a not seasonally adjusted basis year-to-date through December 2014. This represents a gain of 62,122 or 6.4 percent over the level of December 2013 (976,369). Through December 2014, 60.7 percent of the units authorized were single-family. The remaining 39.3 percent were multi-family.
Detailed residential building permit data for New Jersey, its counties, as well as all 565 municipalities are available from the New Jersey Department of Labor and Workforce Development on the Internet (http://lwd.dol.state.nj.us/labor/lpa/LMI_index.html).