Homebuilding continues shift to rural

rural homebuyer

A recent post from the National Association of Home Builders shows that both single-family and multifamily housing builds in rural areas increased over the past year. According to NAHB, the rural growth is accelerating.

According to NAHB’s Home Building Geography Index (HBGI), 10.5% of all single-family homes built in Q4 2021 were built in rural areas, up from 10% in Q4 2021. In addition, 6% of multifamily units were built in rural areas compared to just 4.1% a year ago.

In August 2020, real estate company Redfin reported that there was more demand—and less supply—for rural and suburban neighborhoods than cities. Redfin said that the COVID-19 pandemic had shifted buyers’ preference to lesser-populated areas with more space in which they could continue to work from home.

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While the country emerges from pandemic restrictions, a large number of home buyers continue to look outside large metro areas for their homes, NAHB says. A shortage of buildable lots in metro areas has also contributed to the rural shift.

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