2013-2023 data by Tomlin Investments reveal a decrease in single-family building permits in several North Texas suburbs, including Frisco, Little Elm, Prosper, Sherman, and Denton, despite a mild rebound in October 2023. Conversely, cities such as Celina, McKinney, Princeton, Melissa, and Anna experienced increased permit activity, as listed by The Dallas Express.
Dallas issued 198 new single-family permits to build in October 2023 which is an increase from September's 186 permits, however a sharp 40% fall from the 332 permits of October 2022. Moreover, the first ten months of 2023 saw a 14% dip in issued permits compared to the same period in 2022, registering a decrease from 2,062 to 1,768, according to The Dallas Express.
Declines in residential permit activity were mirrored in Fort Worth where new single-family permits diminished by a sizeable 46% Year over Year in October 2023. By contrast, areas such as Denton, Little Elm, and Melissa saw relative growth, increasing by 46%, 8%, and 17% respectively overall the previous year, as highlighted by WFAA.
The national dip in housing demand, caused by a jump in mortgage rates, is the main contributor to the Dallas–Fort Worth (DFW) area's struggles, in spite of the significant regional population and employment growth. This trend has forced homebuilders to cut back construction due to budget constraints faced by potential buyers, per WFAA.
Despite formerly being North Texas development hotspots, areas like Frisco, Celina, and McKinney are now witnessing a slowdown, this stagnation is attributed to delays in the Dallas building permit process and staffing issues under City Manager T.C. Broadnax. Adding to this, undercharged builders by the city’s Development Services Department shifted a huge portion of the development cost onto taxpayers, as per The Dallas Express.
