In the first quarter of 2020, the construction industry added more than $900 billion to the U.S. economy. Then, we saw the effects of COVID-19, which caused the construction industry to lose $60.9 billion in GDP and approximately 6.5 million jobs. This disruption led to trends like remote work and social distancing, as well as higher construction costs, shifts in resources, and cash flow disruptions. Still, despite the uncertainty of the times, some trends seem to be rising to the surface as we close out the year. Here are five construction trends you will want to pay attention to.Five construction trends for 2021
Denver’s housing market remains strong. Buyers and sellers broke new records in October, driven by low-interest rates. The market remains a seller’s market, especially with homes in the $300,000 to $399,000 price range, making it more difficult for buyers to compete. In the third quarter, the Denver metro area saw a 2.4 percent growth in the number of homes sold. Recently, Denver was named the second-best city in the U.S. to live in by U.S. News & World Report.
Low interest rates combined with businesses moving out of high-cost areas like California have made Utah a popular housing market. This has resulted in a 12.8 percent increase in home prices, and a 3 percent increase in rent compared to last month. Year-over-year new single-family home sales grew by 43.2 percent in September. Zillow predicts that home prices will rise by 5.3 percent by August 2021.
Housing inventory remains low in many major cities across the U.S., and Dallas is no exception. Over the past year, Dallas home values grew by 5.3 percent, and experts predict they will rise by another 7.1 percent over the next 12 months. In addition, Dallas-Fort Worth/Arlington-area home values have increased by 5.5 percent over the last year. Forecasts show that supply and demand dynamics will likely push prices up over the next 12 months.