Housing Starts in the United States decreased to 1256 Thousand units in May from 1392 Thousand units in April of 2025. This dataset provides the latest reported value for - United States Housing Starts - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

In the United States, the projected number of single-family housing unit starts in 2026 is estimated to increase. After a peak in 2021, the number of home construction starts decreased two years in a row. However, those figures are expected to pick back up in the next years. Single-family homes are the preferred option for Americans Single-family homes were the most common type of home purchased in 2023 in the United States, making up roughly ** percent of all purchases, showing that demand for single-family units remains strong. That explains why there is usually a far higher number of single-family homes than of other type of homes being built any given year. There were roughly *** multifamily homes whose construction started in 2024. Single family housing units in the United States The median size of a single family housing unit in the United States based on square footage has remained relatively consistent over the past two decades. The cost of housing varies around the United States. In 2023, the most expensive median price of an existing single-family home was on the West coast. However, it was in the Northeast where the median price of a new single-family home was the most expensive.

Graph and download economic data for New Privately-Owned Housing Units Started: Single-Family Units (HOUST1F) from Jan 1959 to May 2025 about housing starts, privately owned, 1-unit structures, family, housing, and USA.

In April 2025, approximately ******* home construction projects started in the United States. The lowest point for housing starts over the past decade was in 2009, just after the 2007-2008 global financial crisis. Since 2010, the number of housing units started has been mostly increasing despite seasonal fluctuations. Statista also has a dedicated topic page on the U.S. housing market as a starting point for additional investigation on this topic. The impact of the global recession The same trend can be seen in home sales over the past two decades. The volume of U.S. home sales began to drop in 2005 and continued until 2010, after which home sales began to increase again. This dip in sales between 2005 and 2010 suggests that supply was outstripping demand, which led to decreased activity in the residential construction sector. Impact of recession on home buyers The financial crisis led to increased unemployment and pay cuts in most sectors, which meant that potential home buyers had less money to spend. The median income of home buyers in the U.S. fluctuated alongside the home sales and starts over the past decade.

Housing Starts Multi Family in the United States decreased to 316 Thousand units in May from 454 Thousand units in April of 2025. This dataset includes a chart with historical data for the United States Housing Starts Multi Family.

Texas and Florida were the states with most residential building permits issued in 2024, with roughly ******* and ******* permits issued, respectively. On the other side of the spectrum, Alaska and Rhode Island issued fewer permits than any other state. The overall number of building permits for new residential construction in the U.S. has fluctuated a lot in the past years.

Housing Starts Single Family in the United States increased to 924 Thousand units in May from 920 Thousand units in April of 2025. This dataset includes a chart with historical data for the United States Housing Starts Single Family.

Graph and download economic data for New Privately-Owned Housing Units Started: Units in Buildings with 5 Units or More (HOUST5F) from Jan 1959 to May 2025 about 5-unit structures +, housing starts, privately owned, housing, and USA.

In May 2025, there were ******* permits for new residential construction in the United States. Despite some fluctuations, the number of building permits issued in the past couple of years has been falling. The number of U.S. new home construction starts has also been lower than in previous years.

In 2024, there were more new housing starts in the ***** of the United States than in every other region of the country combined. Housing starts have been decreasing in the South and the West of the U.S. since 2021, while housing starts remained the same in the Midwest in 2024 and they increased in the Northeast after a decline in previous years.

In the United States, it is expected that there will be approximately ***** multifamily housing starts less in 2025 than in 2024. However, it is forecasted that the number of construction starts for multifamily housing units will pick up slightly in 2026, after two years of falling starts. Multifamily vs single-family housing demand Multifamily housing includes various types of housing, such as apartment buildings, condominiums, duplexes, and townhouses. The number of housing starts of single-family has also fallen in 2022 and 2023, but it already started growing again in 2024, showing a faster recovery than the multifamily housing segment.

Are multifamily homes getting smaller? The median size of multifamily homes has median size of multifamily homes has shrunk by nearly *** square feet between 2007 and 2023. This trend towards smaller homes suggests that space is becoming increasingly limited, or that consumers prefer smaller homes due to smaller mortgages, lower maintenance costs and lower utility costs.

Housing Starts MoM in the United States decreased to -9.80 percent in May from 2.70 percent in April of 2025. This dataset includes a chart with historical data for the United States Housing Starts MoM.

U.S. Housing Starts - One-Family Units Floor Area: 26 years of historical data from 1999 to 2025.

This driver measures the number of new, privately owned housing units started in a given year. This includes both single-unit and multiunit developments. The data is sourced from the US Census Bureau and is the sum of unadjusted monthly data.

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US Residential Construction Market Size 2025-2029

The US residential construction market size is forecast to increase by USD 242.9 million at a CAGR of 4.5% between 2024 and 2029.

The Residential Construction Market in the US is experiencing significant growth driven by increasing household formation rates and a rising focus on sustainability in new projects. According to the latest data, household formation is projected to continue growing at a steady pace, fueling the demand for new residential units. This trend is particularly evident in urban areas, where population growth and limited space for new development are driving up demand. Meanwhile, the emphasis on sustainability in residential construction is transforming the market landscape. With consumers increasingly prioritizing energy efficiency and eco-friendly features in their homes, builders and developers are responding by incorporating green technologies and sustainable materials into their projects.
This shift not only appeals to environmentally-conscious consumers but also offers long-term cost savings and regulatory compliance benefits. However, the market is not without challenges. Skilled labor shortages continue to pose a significant hurdle for large-scale residential real estate projects. The ongoing shortage of skilled laborers, including carpenters, electricians, and plumbers, is driving up labor costs and delaying project timelines. To mitigate this challenge, some builders are exploring alternative solutions, such as modular construction and automation, to streamline their operations and reduce their reliance on traditional labor sources. The Residential Construction Market in the US presents significant opportunities for companies seeking to capitalize on the growing demand for new housing units and the shift towards sustainability.
However, navigating the challenges of labor shortages and rising costs will require innovative solutions and strategic planning. By staying informed of market trends and adapting to evolving consumer preferences, companies can effectively position themselves for success in this dynamic market.

What will be the size of the US Residential Construction Market during the forecast period?

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The residential construction market in the United States continues to exhibit dynamic activity, driven by various economic factors. Housing supply remains a key focus, with ongoing discussions surrounding the affordable housing trend and efforts to increase inventory, particularly for single-family homes and new constructions. Mortgage and federal funds rates have an impact on residential investment, with fluctuations influencing buyer decisions and construction costs. The labor market plays a crucial role, as workforce availability and wages affect both housing starts and cancellation rates. Inflation and interest rates, monitored closely by the Federal Reserve, also shape the market's direction. Recession risks and economic conditions influence construction spending across various sectors, including multifamily and single-family homes.
Federal programs, such as housing choice vouchers and fair housing initiatives, continue to support home buyers and promote equitable housing opportunities. Building permits and housing starts serve as essential indicators of market health and future growth, with some sectors experiencing double-digit growth. Overall, the residential construction market in the US remains a significant economic driver, shaped by a complex interplay of economic, demographic, and policy factors.

How is this market segmented?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Product

  Apartments and condominiums
  Luxury Homes
  Other types


Type

  New construction
  Renovation


Application

  Single family
  Multi-family


Construction Material

  Wood-framed
  Concrete
  Steel
  Modular/Prefabricated


Geography

  US

By Product Insights

The apartments and condominiums segment is estimated to witness significant growth during the forecast period.

The residential construction market in the US is experiencing growth in both the apartment and condominium sectors, driven by the increasing trend toward urbanization and changing lifestyle preferences. Apartments, typically owned by property management companies, and condominiums, with individually owned units within a larger complex, contribute significantly to the market. The Federal Reserve's influence on the economy through the federal funds rate and mortgage rates impacts borrowing rates and home construction activity. The affordability of housing, particularly for younger generations, is a concern due to factors such as inflation, labor market conditions, and savings

United States Private Housing Starts: 1 Unit: Floor Area: Median data was reported at 2,320.000 sq ft in Sep 2018. This records a decrease from the previous number of 2,346.000 sq ft for Jun 2018. United States Private Housing Starts: 1 Unit: Floor Area: Median data is updated quarterly, averaging 2,230.000 sq ft from Mar 1999 (Median) to Sep 2018, with 79 observations. The data reached an all-time high of 2,519.000 sq ft in Mar 2015 and a record low of 2,017.000 sq ft in Sep 1999. United States Private Housing Starts: 1 Unit: Floor Area: Median data remains active status in CEIC and is reported by US Census Bureau. The data is categorized under Global Database’s United States – Table US.EA014: Private Housing Units: Started: By Purpose and Design.

United States FRBOP Forecast: Annual Housing Starts: Mean: Current data was reported at 1.264 USD mn in Dec 2018. This records a decrease from the previous number of 1.293 USD mn for Sep 2018. United States FRBOP Forecast: Annual Housing Starts: Mean: Current data is updated quarterly, averaging 1.400 USD mn from Sep 1981 (Median) to Dec 2018, with 150 observations. The data reached an all-time high of 2.083 USD mn in Jun 1986 and a record low of 0.558 USD mn in Jun 2009. United States FRBOP Forecast: Annual Housing Starts: Mean: Current data remains active status in CEIC and is reported by Federal Reserve Bank of Philadelphia. The data is categorized under Global Database’s United States – Table US.EA007: Private Housing Units: Started and Authorized: Forecast: Federal Reserve Bank of Philadelphia.

Idaho and North Caroline were in 2023 the U.S. states with the highest volume of new residential construction, with over **** units authorized per 1,000 residents. On average, that year in the U.S. there were **** homes authorized per 1,000 residents. The most populous states in the U.S. tend to have the highest demand for housing.

Graph and download economic data for New Privately Owned Housing Starts in the United States, Average Square Feet of Floor Area for One-Family Units (HOUSTSFLAA1FQ) from Q1 1999 to Q1 2025 about floor area, housing starts, privately owned, 1-unit structures, family, new, housing, and USA.

In 2021, close to ten percent of the ***** million homes in the United States were from the first decade of the 21st century. Between 2000 and 2009, approximately **** million homes were constructed.