IE Business Daily Business news for the Inland Empire.
Homebuilders nationwide continue to feel confident about the multifamily housing market, according to a report released Thursday.
The Multifamily Production Index reached 54 during the third quarter, four points below the second quarter but the 11th consecutive quarter with a reading of at least 50, according to the National Association of Home Builders in Washington, D.C.
Any number of 50 or more indicates that more of those surveyed believe the market is improving rather than regressing
The index measures builder and developer regarding the condominium and apartment markets on a scale of zero to 100. It focuses primarily on three areas: construction of low-rent units, market-rate rental units and units that are for sale, better known as condominiums.
Even though all three sectors fell from their peak levels of earlier this year, all three stayed above 50, an encouraging sign.
“Despite the slight drop in the index, multifamily developers remain positive about where the market is headed,” said W. Dean Henry, chairman of the association’s Multifamily Leadership Board, in a statement. “Current growth in employment is strong enough to fuel demand for multifamily housing.”
