Housing permits are on the rise in Southwest Florida.
Collier, Lee and Charlotte counties are on track to see a more than 23 percent increase in residential permits in 2018. These are just a few of the numbers he shared at this year's Market Trends presentation, held at Miromar Design Center in Estero on Oct. 30.
In 2017 there were 13,603 single-family and multifamily residential permits issued in the three counties. This year that number is projected to hit 16,500, said Randy Thibaut, president and CEO of Fort Myers-based Land Solutions Inc. The latest permit numbers include new apartments and assisted-living units. Thousands of permits have been issued at about a dozen projects across the region this year.
Thibaut also said "It's clear that the development, building and housing industry is aware that there is a correction to the market at hand now — and likely could be some corrections in the market leading up into 2019 and 2020."
However, corrections are a part of the natural order and cycle of the new home market, usually happening every seven years, he said. By that measure the region is overdue for a correction, with the last one ending in 2009 following the Great Recession.
The next correction, Thibaut said, won't be anything like the last one in Southwest Florida, which followed a subprime lending crisis and a real estate market bubble that burst. "We do not have an oversupply of housing existing, crazy speculative buying from buyers, or predatory lending going on, where people are getting loans they shouldn't be getting," Thibaut said.
In other words, he said, "We don't have those ingredients for the mayhem that we had in 2005." So he's not predicting any huge downturn in Southwest Florida.