April’s total continued the steady pace for new-home construction activity in the metro region as home builders focus on reducing speculative inventory. Recent statistical reports from both the Kansas City Regional Association of Realtors and research firm

Landmarketing show decreasing inventories among local new-home communities.
“ While we expect builders to continue to use caution in starting new speculative construction projects, we’re optimistic that consumers are seeing positive signs in the local market,” HBA Executive Vice President/CEO Tim Underwood said. “Long-term mortgage rates remain at very favorable levels for consumers, and the combination of competitive prices and new housing choices make it an ideal time for consumers to take advantage of the benefits of new-home ownership.”

Despite the slowdown in new-home construction, Underwood said there remained an unmet demand for new housing choices across locations and price ranges throughout Greater Kansas City.

“ The bulk of the speculative inventory across the metro can be found primarily in move-up categories starting around $250,000,” Underwood said. “We still need more housing choices for first-time homebuyers across much of the metro, and there are many locations ripe for infill housing developments in first suburb locations and neighborhoods closer to the urban center.”

Underwood cited a trip to Charlotte last week organized by the Housing Choices Coalition of Greater Kansas City for home-building professionals, local planners and city officials as a model for new-home planning and development. More than 30 local housing leaders attended the trip, which included tours of innovative housing projects and presentations on land planning and mass transit strategies.

“ There are lessons we can learn from Charlotte and other cities when it comes to managing residential development and economic growth through a responsible, sustainable approach that focuses on expanding housing choices,” Underwood said. “Making homeownership more attainable is key to improving both the local economy and neighborhoods.”

Kansas City, Mo., leads the list of top-permitting cities with 479 single-family units. Olathe ranks second with 236 homes, followed by Lee’s Summit with 169. Rounding out the top 10 are Grain Valley, 122 units; Overland Park, 119; Kansas City, Kan./Wyandotte Co., 114; Blue Springs, 93; Shawnee, 91; Gardner, 72; and Lenexa, 68.

The Home Builders Association of Greater Kansas City (HBA) is the voice of the housing industry and the source for housing information. Comprising more than 1,000 member companies, the HBA represents an industry that contributes more than $2.5 billion to the Kansas City economy and supports more than 36,000 jobs in the Greater Kansas City metropolitan area.