US housing starts fell in July as economic uncertainty, rising construction costs, labor shortages and elevated financing expenses continued to challenge builders. Overall housing starts decreased 12.4% in July to a seasonally adjusted annual rate of 1.24 million units, according to a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. …Within this overall number, single-family starts decreased 9.9% to an 808,000 seasonally adjusted annual rate and are down 15.7% compared to July 2025. The multifamily sector, which includes apartment buildings and condos, decreased 16.8% to an annualized 431,000 pace and are down 8.9% compared to July 2025. “Builders continue to face significant challenges from elevated construction costs and affordability pressures,” said Bill Owens, NAHB chairman. …“The July decline in housing starts reflects broader weakness in the housing market,” said NAHB’s assistant VP for forecasting and analysis. “Builders remain cautious as elevated mortgage rates, rising construction costs and economic uncertainty continue to limit demand.