Single-family housing starts in July were at a rate of 808,000, which is 9.9% below the revised June figure of 897,000, according to data from the US Census Bureau and Department of Housing and Urban Development.
Privately-owned housing starts in July were at a seasonally adjusted annual rate of 1.23 million, which is a 12.4% drop from the revised June estimate of 1.41 million and a 13.5% plummet from the July 2025 rate of 1.43 million.
Single-family authorizations in July were at a rate of 894,000, a 2.5% upswing from the revised June figure of 872,000. Privately-owned housing units authorized by building permits in July were at a seasonally adjusted annual rate of 1.44 million, which is 5.0% above the revised June rate of 1,374,000 and 3.1% higher than the July 2025 rate of 1.40 million
Single-family housing completions in July were at a rate of 878,000, a 5.8% slide from the revised June rate of 932,000. Privately-owned housing completions in July were at a seasonally adjusted annual rate of 1.21 million, which is 9.1% below the revised June estimate of 1.33 million and 16.8% below the July 2025 rate of 1.45 million.
“The July decline in housing starts reflects broader weakness in the housing market,” said Danushka Nanayakkara-Skillington, assistant vice president for forecasting and analysis at the National Association of Home Builders. “Builders remain cautious as elevated mortgage rates, rising construction costs and economic uncertainty continue to limit demand. The drop in single-family construction is especially concerning given the persistent housing shortage in many markets. Looking ahead, permits are trending positively for both single-family and multifamily construction.”
First American Deputy Chief Economist Odeta Kushi observed, “There was a silver lining in the permits data. Overall permits rose 5% to 1.443 million, beating expectations, while single-family permits increased from both a month and a year ago. Permits tend to lead actual construction, so the July increase suggests builders are still getting projects ready, even if they are more selective about when to break ground. One month of stronger permits does not change the bigger picture, though. Months’ supply of new homes remains elevated, and permit growth has generally slowed as inventory has built. With plenty of new homes already available relative to the current pace of sales, builders have little reason to push production much higher until that inventory comes down or demand improves.”
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