The Sconi

The Wisconsin Builders Association (WBA) has reported a seven percent decrease in new home starts for the first quarter of 2023 compared to the same period in 2022. The data, gathered from municipalities across the state, indicates that 2,713 permits were issued between January 1 and March 31. This figure is slightly lower than the 2,917 permits recorded during the first quarter of last year.

Despite this decline, WBA Executive Director Brad Boycks noted that "we are still well above pre-pandemic numbers, with just over 1,900 starts occurring in quarter one of 2020." The drop in new home starts is attributed to high building costs, regulatory challenges, and elevated mortgage rates. However, there was an increase in building activity in March, leading to optimism among builders for the upcoming spring and summer seasons.

WBA President Mike Howe commented on the situation: "Like so many other industries, homebuilding has had to keep up with inflation so the cost of building a new home has not decreased." He added that according to data from the National Association of Home Builders and the Wells Fargo Housing Market Index, "due to a limited number of existing homes, the industry is poised to continue to do well."

The Wisconsin Builders Association represents over 4,000 members within the home building industry and advocates for affordable housing throughout Wisconsin.