By National Association of Homebuilders
Strong multifamily growth pushed overall housing starts higher in June, while single-family production remained sluggish as elevated mortgage rates, rising construction costs and persistent labor shortages continued to weigh on the market.
Overall housing starts increased 19% in June to a seasonally adjusted annual rate of 1.43 million units, according to a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.
The June reading of 1.43 million starts is the number of housing units builders would begin if development kept this pace for the next 12 months. Within this overall number, single-family starts decreased 0.2% to an 895,000 seasonally adjusted annual rate and are down 3.2% compared to June 2025. The multifamily sector, which includes apartment buildings and condos, increased 76.2% to an annualized 532,000 pace and are up 17.2% compared to June 2025.
“Single-family housing starts fell in June as elevated mortgage rates and higher construction financing costs continued to weaken builder confidence and housing demand,” said Bill Owens, chairman of the National Association of Home Builders (NAHB) and a home builder and remodeler from Worthington, Ohio. “The newly enacted housing bill includes key provisions to help builders increase supply, including streamlined regulations and incentives for local zoning reforms, but it will take time for these measures to take effect.”
