Construction activity on new single-family homes retreated in May alongside permits and completions in the face of economic uncertainty, high borrowing costs, and material rates, the U.S. Census Bureau reported Tuesday. Single-family housing starts last month were a seasonally adjusted annual rate of 882,000, down 1.9% from April. Total housing starts in May also experienced a significant pullback, plunging 15.4% month over month and 8.7% year over year to a seasonally adjusted annual rate of 1.17 million units. Municipalities across the U.S. issued 1.413 million permits for the construction of private housing in May, 0.7% below April’s rate of 1.42 million and 0.2% below May 2025’s 1.416 million. Single-family completions last month dipped 1.6% below April’s revised rate of 886,000 units, while total housing completions dropped 8.1% from April.
Related coverage by:
- Jessica Coacci in the WSJ: US Housing Starts Fell Sharply in May
- Andrew Ricci in Reuters: US single-family starts drop to 8-month low