The number of new single-family homes that began construction in September was 4.6 percent lower than the month before, according to new numbers from the U.S. Census Bureau and the Department of Housing and Urban Development. The decline continues a downward trend, as the rate of residential construction has slowed while building and borrowing costs have risen. Bill Owens, chairman of the National Association of Home Builders, says current conditions have held builders back. “Housing starts declined in September as high mortgage rates, persistent affordability challenges and rising construction costs held back home building,” Owens said. “High land, labor and construction costs are eroding builder confidence. A sustained increase in home building is key to long-term affordability, but near-term construction depends on mortgage rates, financing conditions and efforts to ease regulatory barriers.” NAHB expects construction to end the year lower than last year, with further declines in 2027. (source)
