Newly released figures from the U.S. Census Bureau and the Department of Housing and Urban Development show that the number of single-family homes that were started or completed in February rose from the month before. The number of building permits also increased. However, though the gains are welcome news for a housing market suffering from low for-sale inventory, new residential construction is likely to slow in the coming months due to the impact of the coronavirus. Economist Matthew Speakman says, while that may be true, demand will bounce back. “This presents a conundrum for builders who will undoubtedly be trying to determine the best time to apply for new permits and/or resume construction so that homes are ready to sell once the market comes back,” Speakman said. “The coming months will very likely be tough sledding for builders, but longer-term market dynamics might result in some better-than-expected readings on the other side of this crisis.” (source)

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