Housing starts in July saw a significant increase, primarily in the multi-family sector, marking the second consecutive month of growth. Single-family starts experienced a marginal rebound after four months of declines, but permits for single-family homes remain at a near-record low, indicating ongoing sector weakness. Building permits were down compared to the previous month and last year. While housing completions rose month-over-month, they dropped significantly year-on-year, revealing challenges in the construction market and a pressing need for affordable housing amid a structurally undersupplied market.
Housing starts jumped in July, with multi-family starts surging for a second straight month, while single-family starts showed a modest rebound after four months of declines.
Single-family permits remain near their lowest level since March 2023, highlighting continued weakness, with a 0.5% gain month-over-month but down 7.9% annually.
The housing market remains structurally undersupplied, necessitating more construction efforts, as current completion rates are down 13.5% annually despite a monthly increase.
U.S. home construction is currently facing significant challenges, with projections suggesting a depression in the new construction market, particularly for affordable housing.
Collection
[
|
...
]