Tampa area new home starts hit the pits

Builders are in a world of hurt, illustrated by the 56.6 percent decline in new single-family home starts recorded in the third quarter of this year.

The firm Metrostudy recorded 1,732 starts from July 1 to Sept. 30 this year compared to 3,993 starts the same time last year. Closings were down 35.8 percent the same period, from 4,287 to 2,754.

The report, released Wednesday, contained what could be a kernel of good news: At the current rate of sales, new home inventory could reach a rough balance between supply and demand in about a year.

On the other hand, inventory of vacant lots stood at 30,703, enough at current sales to last 3 1/2 years.

"The long term cure is likely a price shift to get back in touch with buyers and their income levels," study director Tony Polito said.

The top selling neighborhood in the region remained Pasco County's Meadow Pointe, at 256 homes, followed by Panther Trace, South Fork, Bay Park, FishHawk Ranch and Kingsway in Hillsborough County.