DC Home Builders See The End

The Washington Post wonders why the pace of new home construction has slowed. "According to the Census Bureau, local jurisdictions issued permits for 36,881 new units of housing in 2004, down from 38,696 in 2003. That's the fewest permits issued in the region since 1997, when construction of 30,249 units was authorized."

"Is that the doing of cautious home builders or reluctant local governments?" Local governments are falling over themselves to create "affordable housing" so there is no question the home builders see an end to the boom. "After frenetic growth in prices in the last seven years, home builders may have pulled back out of concern that there's a housing bubble ready to burst." There you have it.