Published Jan. 16, 2013
Most of the top homebuilders in the Midlands chalked up major increases in the number of homes built in 2012, with Mungo Homes leading the pack with an 84% increase, to 518 homes built in 2012 from 281 homes built in 2011.
Positive factorsEconomist Joseph Von Nessen cited factors that will continue to be positive for home sales in South Carolina.
But a chart of the top 20 builders in the region shows that six of those builders actually built fewer homes last year than they did in 2011.
Two of the top 20 builders, however, built no homes in 2011, but rebounded in 2012: CF Evans & Co. Construction built 46 homes, while JJ&Z Builders built 14 homes.
Joseph Von Nessen, an economist with Resh Marketing Inc., said in the report that while recent trends have been tough on South Carolina homebuilders, there are signs of an improving outlook.
“Since 2009, the bulk of our recovery has come in the non-summer months,” Von Nessen said. “One can easily see this by looking at the unemployment rates, which has tended to rise in the summer months and fall in the spring and fall. Housing is seasonal, with the bulk of sales activity coming in the summer.”
Because the housing sector has not yet fully rebounded in South Carolina, Von Nessen said, the growth that would otherwise occur in the summer is not happening. As a result, the state has seen relatively low amounts of economic growth in the summer since the economic crisis in 2008.
He cited factors, however, that will continue to be positive for home sales including pent-up demand, strengthening of home price appreciation and the ebb of competition from existing home sales on price.
Top 20 builders by permits pulled
Source: Home Builders Association of Greater Columbia