According to recent data and estimates, 2013 was a great year for new residential construction, and 2014 is predicted to be very promising as well! This is excellent news for homebuilders such as Christopher Companies, and we’re thrilled to share this news.

According to information from the National Association of Home Builders (NAHB) and Census data for December, total residential construction spending increased an impressive 18.3% in 2013, compared to 2012. This is encouraging news for the economy at large – typically, higher spending in new residential construction is considered an indicator of a recovering and strengthening economy.

And just how much is this spending increase? According to Census estimates, residential construction was at a seasonally adjusted rate of about $353 billion in December 2013. Spending in all categories of residential construction posted year-over-year increases, with single-family construction spending rising 20% and multifamily construction spending increasing 34.5% from the year before, on a three-month moving average basis.

At Christopher Companies, we’re always excited to hear great news about the residential construction industry. Increased spending on housing construction usually indicates that there’s reason to believe there will be a demand for houses, and a strong demand for housing is a great sign for the economy and consumers nationwide.

Thankfully, the good news doesn’t stop there. After a strong year of home construction spending in 2013, the year 2014 is expected to bring even more homebuilding. Forecasters are expecting construction to begin on 1.19 million to 1.25 million homes in 2014 – an increase from the 975,000 home starts in 2013. Bolstering the expected increase in home construction is high consumer confidence levels that haven’t been seen since before the recession, and household finances that are continuing to mend from the recession.

An increase in housing supply could not only benefit the economy, but also benefit homebuyers. When the supply for housing is low, consumers who want a new home often have to buy resales that aren’t ideal for their needs and wants. With an increased supply of new residential construction, homebuyers will have more options available for homes with sophisticated design, new materials and energy-efficiency.

At Christopher Companies, we’re proud to be a member of the vital new residential construction market. We take tremendous pride in offering our customers single family homes, townhomes, condominiums and custom homes designed and built with only the highest standards in mind. No matter where we’re building – whether it’s in the D.C. metro region or along the Delaware shore – we’re thrilled to have the opportunity to offer homebuyers in 2014 and beyond the opportunity to enjoy a new construction home.

SOURCE: National Association of Home Builders, The U.S. Census Bureau, Charlotte Observer, Realtor Magazine