July Gains in US Private Residential Construction Spending

By Na Zhao
NAHB – Eye on Housing
September 1, 2023
Category: Finance & Economics
Region: United States

NAHB analysis of Census Construction Spending data shows that private residential construction spending rose 1.4% in July after an increase of 1.5% in June and 3.5% in May. Spending stood at a seasonally adjusted annual pace of $879 billion. However, total private residential construction spending is still 5.5% lower compared to a year ago. The total construction monthly increase is attributed to more spending on all three categories: single-family, multifamily construction, and improvements. Spending on single-family construction rose 2.8% in July after an increase of 1.9% in June. Compared to a year ago, spending on single-family construction was 15.2% lower. Multifamily construction spending inched up 0.2% in July, and was 24.6% over the July 2022 estimates, largely due to the strong demand for rental apartments. Private residential improvement spending edged up 0.3% in July and was 2% lower compared to a year ago.

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