Why Are New Single-Family Homes So Rare in Detroit? (And How One Company Is Changing It)

On today's Daily Detroit, Jer sits down with developer and Greatwater Homes co-founder Matt Temkin to unpack what it really takes to build brand-new single-family houses inside the city limits. After all, there were only 19 permits pulled in 2024 in Detroit.

We dig into the brutal math behind new construction: why a typical unit can cost $250,000–$400,000 to build, how the "1% rent rule" prices many Detroiters out of new apartments, and why at $2,500 a month most people start asking whether they should just buy instead.

Temkin says Detroit has always been a city of houses, and that new construction needs to respect that history while also meeting modern needs.

Jer and Matt talk about designing homes that fit the neighborhood — solid walls, solid oak floors, real fireplaces, and façades that sit comfortably next to 100-year-old houses — without falling into the "matchstick" trap of cheaply built new builds. How trying to cut every corner doesn't actually help anybody. 

They also tackle pricing strategy, how Greatwater makes it financially sustainable while many others behind them have failed, and why bigger floorplans often end up being the better deal per square foot.

And we talk about policy: Detroit's tiny share of new home construction in Wayne County, Mayor Mary Sheffield's goal of 1,000 new single-family homes, and what process changes like permits, taps, and inspections that could aunlock more quality new housing in city neighborhoods.

As always, be sure to follow Daily Detroit in your favorite podcast app like Apple Podcasts, Spotify, or wherever you isten to shows.