To the question, do you think new home construction in the USA will slow down soon? Some ideas are as below .
1. The answer is No . There are 2 things that are driving up the demand for housing .
1st . Illegal aliens are pouring across our border with Mexico and they need somewhere to live. Every family of illegal aliens who come into the USA needs a home (house, apartment, condo, trailer, etc.) and hundreds of thousands of them coming into the USA monthly.
2nd. Many people are getting married older than our parents and grandparents got married. That means instead of two married people needing one home, two single people need two homes. That is driving up the demand for homes too.
As long as there is a demand for homes builders will keep building them. I don’t see either one of those things stopping any time soon, so demand is going to keep going up. And people who build houses are going to keep getting rich meeting that demand.
2. The answer is Yes .
Considering home pricing is insanely expensive combined with the inflation interest rates… yes. New home building will stop.
It’s around USD 300sq/ft at the moment for a reputable builder to build our home. It was around USD250sq/ft not long ago up from USD180sq/ft a couple years ago.