X
 
(601) 450-3380
629 North Main Street, Hattiesburg, MS 39401
Top Banner
More Builders Small Banks
April 24, 2017
dollar-bill.jpg

Small banks are the best bets for builders looking for single-family construction loans. This, according to NAHB economists who recently reported that 64% of residential construction loans in 2016 were made by small and midsize banks (those with less than $10 billion in assets).

NAHB Senior Economist Michael Neal notes that the largest banks have the smallest concentration of residential construction loans, and the small portion of their total assets focused on those loans has remained mostly unchanged for several years.

Meanwhile, the portion of residential construction loans has steadily grown for the smaller banks each year since 2012, especially for those with $100 million to $1 billion of assets.
“It suggests smaller banks are where the relationship banking aspect of home building is taking place,” Neal said in an article by National Mortgage News.

In all, banks held nearly $70 billion in one- to four-family construction loans at the end of 2016 – a big drop from the 2007 total of $202.9 billion, but still a promising sign of recovery when compared to just $42.3 billion in 2012.

Upcoming Events
Christmas Party
12/12/2017
Hattiesburg Country Club

 

Christmas Party, Installation Ceremony and Awards Presentation will take place at the Hattiesburg Country Club this year. Please plan to join us.
About GHHBA

GHHBA, a chapter of the National Association of Home Builders, serves licensed builders, associates of the construction industry, and consumers in Marion, Lamar, Forrest, Covington and Perry counties. Our association focuses on formal builder education (MSBOC licensure and CPB certification), informing builders of market news,and giving builders the tools to respond to prospective legislation through our state counterpart, HBAM.

Membership in GHHBA keeps builders accountable to consumers. GHHBA is the name consumers trust when they look for a contractor.