This article is part of an ongoing, county by county overview of the Tri-County Area. This article covers the employment and housing permit trends in Clinton County. Information on employment and housing permits over time is powerful because it shows whether a region’s economy and housing supply are moving in sync or drifting apart.

Figure 1 illustrates trends in single family and multifamily building permits in Clinton County over time.  Between 2014 and 2020, more than 800 multifamily permits were authorized, a notable development given the ongoing shortage of multifamily housing and the anticipated need for additional units to meet future demand.^[1] However, multifamily permitting activity has not returned to pre-COVID levels. One likely contributing factor is higher borrowing costs, which have increased development expenses and reduced the financial feasibility of new multifamily construction.^[2]

Figure 1: Comparison of Single and Multifamily Permits in Clinton County, 2014-2024

Source: Points Consulting using Michigan Capital Region Data Hub

Figure 2 displays employment trends in Clinton County between 2014 and 2024. Since 2021, employment has followed an upward trajectory, indicating that the County has not only recovered from the recent pandemic, but has continued to add jobs, reflecting broader economic expansion.

Figure 2: Total Annual Employment in Clinton County

Source: Points Consulting using Michigan Capital Region Data Hub

Employment growth and stability can shape how many housing permits are issued and how quickly development occurs. When a community adds jobs, housing demand increases as more households form or move into the area. Strong employment stability reduces risk for developers and lenders, increasing their willingness to finance housing projects when job losses are unlikely.

Figure 3 illustrates the ratio of units permitted per job gained in Clinton County between 2014 and 2024. Overall, employment growth has generally outpaced housing production, indicating that more jobs have been added than housing units permitted during much of the period. However, adding an additional job to an existing business typically takes less time than obtaining permits and completing the construction of a new home. Additionally, the relationship varies by year, with some years seeing housing construction exceed job growth.

Figure 3: Units Permitted per Job Gained, Clinton County, 2014-2024

 

Source: Points Consulting using Michigan Capital Region Data Hub

In 2015, the ratio was 0.4, meaning that fewer than one housing unit was permitted for each job added. In contrast, the ratio reached 1.7 in another year, indicating that nearly two housing units were permitted for every job created. A notable downward trend occurred between 2018 and 2020.

In 2018, the ratio fell to a negative value of 5.8, not due to a decline in housing permits, but because year-over-year employment growth turned negative between 2018 and 2021. The decline in employment produced a negative ratio, even though more than 200 housing units were permitted in 2018, contributing to a larger (but negative) ratio. Loss of manufacturing jobs from 2017 through 2019 is likely the driving factor of the negative ratio in 2018 and 2019, with the COVID-19 pandemic causing job losses in 2020.^[3] The negative ratio persisted through 2020 before turning positive again in 2021 and rose to 3.3 in 2024.

This metric is important to monitor because employment growth that outpaces housing permitting can place upward pressure on housing prices. Early recognition by local leaders and developers can allow for timely increases in housing permitting to better align supply with demand.