The US has been the site of some of the biggest drops in new housing construction since the beginning of the Great Recession, and a new report from Zillow found that there’s a lot more new housing in the US than was initially thought.
The firm found that new homes were built in California, Texas, Florida, and New York for a total of 11.9 million units in 2017, which was down from 12.4 million units for the same period in 2016.
Meanwhile, housing inventory dropped by 10.4% in the last year of the boom, Zillower says, with a median home sales price dropping more than 50% over the same time period.
The company also found that prices for new homes dropped by 4.2% during the same three-year period.
While the US continues to see strong demand for new housing, it’s not quite the same story across the globe, with Zillowing’s analysis finding that more than half of the countries in the world that were previously considered to be hotbeds of new housing built fewer units than they were initially expected.
“The United States is one of the few countries in Europe, Australia, Japan, and even Canada, where we’re seeing a drop in housing prices,” Zillows chief economist John Baez said.
“In Japan, the last two years saw housing prices drop a staggering 70% in real terms.
This means the country is actually starting to build less housing in terms of housing than was originally anticipated.”
This trend will likely continue for years to come.