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Metro-area home construction slows

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Residential construction in the Twin Cities faltered in September.

Homebuilders pulled 436 permits for new projects in September, down about 9 percent from the same month last year, according to the Builders Association of the Twin Cities.

The trade group notes that construction of single-family homes has been slowing this year, as has work on multi-family housing projects like apartment buildings.

Herb Tousley, director of the real estate programs at the University of St. Thomas, said Twin Cities homes sales numbers reflect a lot of demand for properties that sell below $140,000. Tousley said few homebuilders have properties available for under $300,000.

"You know the new homes that are being built, with the cost of construction materials and everything, they tend to be higher-priced," he said.

Tousley said permits for multi-family homes could pick up by the end of the year, as builders plan projects for next year.