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Harrison County – Building Permits 2023

Construction Word Cloud

Building permits serve as a critical indicator of economic health, reflecting trends in construction, real estate, and broader economic activity. Governments, investors, businesses, and policymakers closely monitor building permit statistics because they provide valuable insights into future economic growth, employment, investment patterns, and urban development. Understanding the economic impact of tracking these permits is essential for informed decision-making at both macro and microeconomic levels.

  1. Leading Indicator of Economic Growth Building permits are a leading economic indicator, meaning they signal future economic activity before it materializes. When permit approvals rise, it suggests that developers and homeowners are planning new construction projects, which will lead to increased spending on labor, materials, and services. This activity stimulates economic growth by:

    • Boosting GDP: Construction contributes significantly to Gross Domestic Product (GDP). Increased permits indicate upcoming investments in residential, commercial, and infrastructure projects, driving economic expansion.
    • Encouraging Multiplier Effects: Construction generates demand for related industries, including manufacturing (steel, cement, lumber), transportation, and professional services (architecture, engineering). Each dollar spent in construction circulates through the economy, creating additional economic value.


  2. Employment and Labor Market Effects The construction sector is a major employer, and building permit trends directly influence job creation. Monitoring permits helps predict labor demand in:

    • Direct Construction Jobs (e.g., carpenters, electricians, plumbers)
    • Indirect Jobs (e.g., suppliers, equipment manufacturers, logistics)
    • Induced Jobs (e.g., retail, food services, real estate agents)


    A decline in permits may signal upcoming layoffs, while an increase suggests hiring surges. Policymakers use this data to implement workforce training programs or adjust fiscal policies to support employment stability.

  3. Real Estate Market Stability Building permits provide insights into housing supply and affordability. Key impacts include:

    • Housing Supply & Prices: A surge in residential permits can alleviate housing shortages, stabilizing or reducing home prices. Conversely, a permit slowdown may indicate future price increases due to constrained supply.
    • Commercial & Industrial Development: Permit trends for offices, warehouses, and retail spaces reflect business confidence. Rising commercial permits suggest economic optimism, while declines may signal downturns.


  4. Government Revenue and Public Planning Local governments rely on building permits for:

    • Tax Revenue: Permit fees, property taxes, and sales taxes from construction activities fund public services (schools, roads, utilities).
    • Infrastructure Planning: Permit data helps municipalities plan for transportation, utilities, and zoning adjustments to accommodate growth.
    • Regulatory Adjustments: Monitoring permits allows governments to identify bottlenecks (e.g., excessive delays in approvals) that may hinder economic development.


  5. Investment and Financial Market Implications Investors and financial institutions analyze permit data to:

    • Guide Real Estate Investments: Developers and REITs (Real Estate Investment Trusts) use permit trends to identify high-growth regions.
    • Assess Credit Risk: Banks evaluate loan applications based on construction demand; rising permits may indicate lower risk in mortgage and commercial lending.
    • Predict Commodity Demand: Building material suppliers and futures traders monitor permits to anticipate demand for lumber, steel, and other inputs.


  6. Economic Policy and Risk Management Policymakers use permit statistics to:

    • Adjust Monetary Policy: Central banks may consider construction trends when setting interest rates to control inflation or stimulate growth.
    • Mitigate Bubbles & Crashes: Rapid increases in permits may signal overheating (e.g., housing bubbles), while prolonged declines could foreshadow recessions.


Conclusion

Monitoring building permit statistics is vital for anticipating economic trends, guiding investments, and shaping policy. These permits influence GDP growth, employment, real estate dynamics, government revenue, and financial markets. By analyzing permit data, stakeholders can make proactive decisions that enhance economic stability, promote sustainable development, and mitigate risks. Ignoring these indicators could lead to misallocated resources, housing crises, or missed growth opportunities-underscoring the importance of vigilant tracking in economic planning.

 
Quarter
      Total Units
      Single-Family Units
      All Multi-Family Units
2-unit
3 / 4-unit
5+ unit
     
1997 Q1 54  bar 54  bar 0  bar 000
Q2 102  bar 102  bar 0  bar 000
Q3 84  bar 82  bar 2  bar 200
Q4 92  bar 82  bar 10  bar 0010
 
1998 Q1 376  bar 75  bar 301  bar 00301
Q2 96  bar 96  bar 0  bar 000
Q3 321  bar 65  bar 256  bar 124240
Q4 324  bar 84  bar 240  bar 00240
 
1999 Q1 104  bar 104  bar 0  bar 000
Q2 119  bar 105  bar 14  bar 1400
Q3 112  bar 96  bar 16  bar 0016
Q4 172  bar 103  bar 69  bar 21255
 
2000 Q1 96  bar 96  bar 0  bar 000
Q2 328  bar 82  bar 246  bar 00246
Q3 90  bar 90  bar 0  bar 000
Q4 112  bar 106  bar 6  bar 600
 
2001 Q1 77  bar 77  bar 0  bar 000
Q2 159  bar 95  bar 64  bar 2458
Q3 125  bar 83  bar 42  bar 2040
Q4 93  bar 91  bar 2  bar 200
 
2002 Q1 86  bar 86  bar 0  bar 000
Q2 107  bar 105  bar 2  bar 200
Q3 98  bar 98  bar 0  bar 000
Q4 113  bar 111  bar 2  bar 200
 
2003 Q1 88  bar 86  bar 2  bar 200
Q2 332  bar 106  bar 226  bar 00226
Q3 126  bar 103  bar 23  bar 0320
Q4 109  bar 103  bar 6  bar 006
 
2004 Q1 105  bar 102  bar 3  bar 030
Q2 138  bar 126  bar 12  bar 0120
Q3 206  bar 123  bar 83  bar 40376
Q4 242  bar 135  bar 107  bar 60101
 
2005 Q1 85  bar 67  bar 18  bar 1440
Q2 135  bar 107  bar 28  bar 4321
Q3 128  bar 82  bar 46  bar 4438
Q4 49  bar 49  bar 0  bar 000
 
2006 Q1 152  bar 150  bar 2  bar 200
Q2 149  bar 139  bar 10  bar 1000
Q3 257  bar 157  bar 100  bar 4096
Q4 262  bar 227  bar 35  bar 0296
 
2007 Q1 406  bar 200  bar 206  bar 018422
Q2 337  bar 146  bar 191  bar 47180
Q3 108  bar 98  bar 10  bar 280
Q4 105  bar 101  bar 4  bar 400
 
2008 Q1 112  bar 92  bar 20  bar 2000
Q2 116  bar 110  bar 6  bar 240
Q3 83  bar 76  bar 7  bar 430
Q4 157  bar 62  bar 95  bar 561623
 
2009 Q1 150  bar 132  bar 18  bar 1260
Q2 146  bar 106  bar 40  bar 16240
Q3 166  bar 158  bar 8  bar 080
Q4 71  bar 71  bar 0  bar 000
 
2010 Q1 79  bar 79  bar 0  bar 000
Q2 87  bar 85  bar 2  bar 200
Q3 94  bar 64  bar 30  bar 6420
Q4 68  bar 51  bar 17  bar 2411
 
2011 Q1 91  bar 70  bar 21  bar 2316
Q2 79  bar 61  bar 18  bar 4410
Q3 83  bar 51  bar 32  bar 41216
Q4 74  bar 50  bar 24  bar 6315
 
2012 Q1 76  bar 49  bar 27  bar 4419
Q2 84  bar 55  bar 29  bar 6617
Q3 38  bar 36  bar 2  bar 200
Q4 58  bar 58  bar 0  bar 000
 
2013 Q1 47  bar 45  bar 2  bar 200
Q2 64  bar 62  bar 2  bar 200
Q3 51  bar 49  bar 2  bar 200
Q4 61  bar 61  bar 0  bar 000
 
2014 Q1 44  bar 44  bar 0  bar 000
Q2 146  bar 42  bar 104  bar 00104
Q3 283  bar 65  bar 218  bar 00218
Q4 76  bar 76  bar 0  bar 000
 
2015 Q1 66  bar 66  bar 0  bar 000
Q2 59  bar 59  bar 0  bar 000
Q3 57  bar 57  bar 0  bar 000
Q4 80  bar 80  bar 0  bar 000
 
2016 Q1 59  bar 59  bar 0  bar 000
Q2 93  bar 89  bar 4  bar 400
Q3 76  bar 68  bar 8  bar 080
Q4 69  bar 65  bar 4  bar 400
 
2017 Q1 87  bar 85  bar 2  bar 200
Q2 67  bar 67  bar 0  bar 000
Q3 101  bar 101  bar 0  bar 000
Q4 80  bar 80  bar 0  bar 000
 
2018 Q1 79  bar 79  bar 0  bar 000
Q2 79  bar 79  bar 0  bar 000
Q3 112  bar 112  bar 0  bar 000
Q4 182  bar 94  bar 88  bar 0088
 
2019 Q1 99  bar 95  bar 4  bar 400
Q2 86  bar 84  bar 2  bar 200
Q3 103  bar 103  bar 0  bar 000
Q4 110  bar 110  bar 0  bar 000
 
2020 Q1 133  bar 133  bar 0  bar 000
Q2 77  bar 77  bar 0  bar 000
Q3 161  bar 161  bar 0  bar 000
Q4 108  bar 98  bar 10  bar 1000
 
2021 Q1 97  bar 95  bar 2  bar 200
Q2 109  bar 109  bar 0  bar 000
Q3 63  bar 63  bar 0  bar 000
Q4 58  bar 58  bar 0  bar 000
 
2022 Q1 119  bar 119  bar 0  bar 000
Q2 139  bar 135  bar 4  bar 040
Q3 185  bar 185  bar 0  bar 000
Q4 196  bar 190  bar 6  bar 240
 
2023 Q1 241  bar 241  bar 0  bar 000
Q2 165  bar 163  bar 2  bar 200
Q3 157  bar 155  bar 2  bar 200
Q4 163  bar 163  bar 0  bar 000
 


Sources: STI: PopStats and STI: Colossus