Analysis by the National Association of Home Builders of U.S. Census data from the Quarterly Starts and Completions by Purpose and Design survey shows that custom home building performed better than the overall building market during the challenging second quarter of 2020. This relative outperformance is at odds with the conventional narrative that spec home building saw outsized gains during the April to June time period, NAHB reports.
There were 45,000 total custom building starts during the second quarter of 2020. While this marks a 6% decline relative to the second quarter 2019 total of 48,000, this decline was smaller than the overall decline for single-family housing starts of almost 11%. Over the last four quarters, custom housing starts totaled 177,000, which was a 5% increase over the prior four quarter total of 168,000 starts.
For more, see NAHB’s Eye on Housing blog.