DENVER (KDVR) — Denver area construction is slowing from its highs in 2021, according to a new report.
Real estate brokerage Point2Homes analyzed the number of home building permits issued in 2021 and 2020 in large, medium and small U.S. metro areas and states. While some states such as Hawaii, South Dakota or Georgia have seen big upticks in the number of building permits, Colorado, and specifically the Denver metro, is in the midst of some of the steepest drops in permitting in the nation.
Colorado is among the 10 states with the biggest drops in building permits from 2021 to 2022.
Colorado’s total building permits dropped 18.8% in that time making it the ninth biggest dropoff in the nation. Pennsylvania, Tennessee and Delaware had the biggest dropoffs.
The issue is pronounced in the Denver-Aurora-Lakewood metro statistical area. Among large metros, the Denver area’s building permitting has dropped at the fifth sharpest rate.
The area saw a 22% drop in building permits, roughly even with drops experienced in the Pittsburgh and Miami metros.
The cities with the sharpest drops were among the ones with the greatest increase in permitting in 2021 when the nation’s housing stock issues became highly apparent.