A ray of light: Residential construction investment is up despite coronavirus crisis

Residential construction investment continued to grow in 2020, despite the coronavirus crisis, and completions are also likely to have increased. The overhang of approved but as yet unbuilt housing units has likely grown to more than 750,000, indicating a further increase in completions for 2021. The number of completed dwellings may potentially exceed 300,000 again for the first time in 20 years. New homes will be built primarily in places where population growth has driven up housing demand. But housing will nonetheless remain scarce and expensive in urban centres as the trend towards urbanisation is continuing. Excess demand in overheated housing markets can be reduced by building new dwellings and by diverting migration flows. Creating jobs outside the centres and expanding public regional transport and digital infrastructure can help divert these flows.

A ray of light: Residential construction investment is up despite coronavirus crisis(PDF, 267 KB, non-accessible)