Key facts
- Total new housing starts fell 12.4% month-over-month in July to 1.239 million units.
- Single-family housing starts decreased 12.4% month-over-month to 808,000 units.
- Total housing completions fell 9.1% from June to 1.212 million units.
- Overall residential construction permits rose 5% to 1.443 million units.
- Single-family authorizations increased 1.1% year-over-year to 894,000 units.
U.S. housing starts experienced a significant decline in July, with both single-family and multifamily construction pulling back from June's pace. Total housing starts fell 12.4% month-over-month to a seasonally adjusted annual rate of 1.239 million units, and were 13.5% below the July 2025 pace. Single-family starts alone dropped 12.4% monthly to an annual rate of 808,000 units, a 15.7% decrease year-on-year. Completions also slowed, with total completions falling 9.1% from June to 1.212 million units. However, building permits, a forward-looking indicator, moved in the opposite direction, with total permits rising 5% to 1.443 million units. Single-family authorizations increased 1.1% year-over-year to 894,000 units, suggesting builders are preparing for future demand despite current headwinds. Homebuilder confidence remains muted due to elevated mortgage rates and affordability challenges, with a substantial supply of new homes available relative to the current pace of sales.