LAYTON -- The federal stimulus tax credit package offered to home buyers was just part of the equation for a resurgence in Layton home construction.
The number of single-family home building permits in Layton for the months of March and April more than doubled the totals from the same months last year, said Ben Hart, Layton economic specialist.
The city issued 23 home building permits in March compared with 10 permits issued in March 2009, and the city issued 18 home building permits in April compared with nine in April 2009, Hart said.
He credits the increase to the federal stimulus tax credit of $8,000 offered to new home buyers and the $6,500 tax credit offered to repeat buyers.
Because of the stimulus, Hart said, the city also could see an uptick in this year's May totals over last year's.
"We are turning the corner," he said.
Some letdown is expected in the number of home building permits issued with the tax credit no longer being available, Hart said, adding the stimulus did attract a number of home buyers standing on the sidelines.
But with the stabilization of interest rates, Hart said, the housing market still should be able to lure buyers, keeping the housing market moving.
"The darkest days are behind us," he said.
The home buying that has taken place the last few months also will have a ripple effect throughout the economy, as it has put a number of contractors back to work for an extended period of time, Hart said.
"Residential development not only provides jobs in helping spur the economy through construction and related trades, it also helps provide housing for the work force -- which is extremely important," Hart said.
And with new home growth, he said, it is hoped that commercial development and industry will follow.
"We are seeing a lot of positive things this year," said Mike Hall, a principal broker for Castlecreek Homes, a Roy-based builder currently working in two subdivisions in Layton.
Hall said they have had a good influx of buyers because of the stimulus, but with 90 percent of its April home purchases, the stimulus was not a factor.
A lot of people were on the fence through April, as some wondered whether the government would extend the tax credit stimulus, Hall said.
But their need for a house is not going to go away, he said, as population growth creates a need for housing growth.
"We have seen the bottom, and it is starting to go up from there."
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