Des Moines-area homebuilding continues to slow

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Homebuilding continued to slow in the Des Moines area in May with nearly 13% fewer residential building permits issued than in April, a review of communities’ building permit records shows.

The slowdown follows a trend occurring nationally.

The rising costs and limited availability of lumber and other building materials slowed homebuilding nationally in April, according to the National Association of Home Builders. Overall housing starts decreased 9.5% in April to a seasonally adjusted annual rate of 1.57 million units, a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau said.

May data on housing starts is not yet available.   

In the Des Moines area, Bondurant, Des Moines, Johnston, Urbandale, Waukee and Polk County issued more permits in May than in the previous month, records show.

Overall, 408 permits were issued for the construction of townhouses and single-family houses, 60 fewer than the 468 issued in April. The value of May’s residential permits totaled $112.5 million, down 15% from April when the value was $133.4 million.

The average value of a residential building permit issued in May was $275,947, a review of records shows.