Metro Detroit Home Builders Hold Pessimistic Outlook for 2023

Interest rates continue to rise. Issues with labor availability, materials costs and supply chain slow downs persist. New construction waiting lists are shrinking because people are priced out of the new homes they had set their sights on. Home builders are mired in pessimism as the industry slows. Detroit builders are shifty to other types of development, including remodeling work, self-storage and multifamily apartments. Builders are normally trying to dig basements and frame houses before winter hits, but that isn’t the case this year. September 2022 saw the lowest number of housing  permits pulled since 2011. Rising interest rates continue to impact the market. In contrast, multifamily permits are having their best year since 1998.