Residential Building Permits Summary
New Jersey Residential Building Permits
According to the latest data from the US Bureau of the Census on housing units authorized by building permits, New Jersey had 2,536 units approved for construction in December. This is 490 fewer units than the 3,026 authorized in December 2015. This 16.2 percent loss was the result of fewer authorizations of units in multi-family structures (-370 units or -17.4%) and single-family houses (-120 units or -13.3%).
Over the month, the number of units authorized for construction rose by 787 units or 45.0 percent compared with November’s revised total of 1,749. This resulted from gains in approvals of multi-family residences (+799 units or 83.8%), partially offset by losses in single-family houses (-12 units or -1.5%). Approvals of multi-family units often vary widely from month to month because many are produced in large batches for housing developments or apartment complexes. Of the units for which permits were issued in December, 69.1 percent (1,753) were multi-family and 30.9 percent (783) were single-family.
Hudson County led the state with a total of 445 units authorized by building permit, including 426 multi-family units and 19 single-family houses. Jersey City approved the most units (167) among the county’s municipalities, followed by Secaucus (150). In Jersey City, 159 multi-family units and eight single-family houses were proposed. Secaucus issued permits for 149 units in multi-family structures and one single-family house.
In second place among the state’s 21 counties was Middlesex, were permits were issued for 359 units, including 303 in multi-family buildings and 56 single-family houses. The newly authorized housing was concentrated in Perth Amboy, where 240 units were approved, all in multi-family buildings.
The third-ranking county was Monmouth with a total of 339 approvals, including 259 units in multi-family structures and 80 single-family houses. Aberdeen Township led the county’s municipalities in authorizations with a total of 254 units, all of them multi-family.
Ranking fourth was Essex County, where permits were issued for 229 units, including 204 multi-family residences and 25 single-family houses. Of the county’s municipalities, City of Orange Township approved the most units, with a total of 130. All of these were multi-family. Rounding out the list of the state’s top five counties was Burlington County with 190 units approved. Of these, 141 were multi-family and 49 were single-family. Eastampton Township led the county’s municipalities with 102 units authorized, including 100 in multi-family buildings and two single-family houses.
Nationally, the issuance of building permits on a not seasonally adjusted basis remained essentially flat over the month, rising by 156 units from 91,254 in November 2016 to 91,410 in December 2016. Across the United States, units authorized by building permits went down over the year by 5,423 or -5.6 percent from December 2015, when issuances stood at 96,833. For the month of December 2016, single-family houses accounted for 60.6 percent of the units authorized, while 39.4 percent were in multi-family buildings.
New Jersey’s total of 26,751 units authorized year-to-date through December 2016 was down by 3,889 or 12.7 percent compared to the December 2015 total of 30,640. The northern part of the state remains an important driver of housing demand in New Jersey as two counties (Hudson and Bergen) combined approved 7,206 units through December 2016 and were responsible for 26.9 percent of the statewide total. Hudson County ranked first among the state’s 21 counties and issued permits for 4,195 units, including 3,867 in multi-family structures and 328 single-family houses. Second-ranking Bergen County approved 3,011 units, including 1,946 multi-family residences and 1,065 single-family houses. Year-to-date through December 2016, 64.0 percent of the units authorized in the state were multi-family, while 36.0 percent were single-family.
Ocean County ranked third in the state with 2,624 residences authorized. Of the units approved, 1,909 were single-family and 715 were multi-family. The county is located along the Atlantic coast in the central part of the state and is favored by people who want to vacation or retire at the shore.
The top two municipalities in the state for housing authorizations were both located in Hudson County. In first place was Jersey City with a total of 1,494 units, including 1,288 in multi-unit structures and 206 single-family houses. Secaucus ranked second with a total of 766 issuances, including 757 units in multi-family buildings and nine single-family houses. Tied for third place were Harrison in Hudson County and Aberdeen Township in Monmouth County with a total of 739 approvals each. In Harrison, all the units authorized were in multi-family structures. Aberdeen Township issued permits for 731 multi-family residences and eight single-family houses.
Across the United States year-to-date through December 2016, permit approvals totaled 1,190,191 units. Compared with the same period last year authorizations rose by 12,053 units or 1.0 percent, when 1,178,138 units were allowed year-to-date through December 2015. Through December 2016, 62.6 percent of the units authorized were single-family. The remaining 37.4 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).