New Residential Construction as of September 2023

New residential construction in the United States is mixed, with some categories showing positive growth and others showing negative growth.

These categories suggest that there are some challenges facing the new residential construction market, such as rising costs and supply chain disruptions.

Overall, the data suggests that the new residential construction market is in a state of flux. There is strong demand for new housing, but there are also some challenges facing builders. It remains to be seen how these challenges will impact the market in the long term.

Here are some possible explanations for the mixed performance of the new residential construction market:

• Rising interest rates: Rising interest rates make it more expensive to borrow money to buy a home, which can dampen demand for new housing.
• Inflation: Inflation is driving up the cost of building materials and labor, which can make it more expensive for builders to construct new homes.
• Supply chain disruptions: Supply chain disruptions caused by the COVID-19 pandemic have made it difficult for builders to obtain the materials they need to construct new homes.
• Strong demand for existing homes: The demand for existing homes is strong, which can push up prices and make it more difficult for buyers to afford a new home.

 

Source:https://www.census.gov/construction/nrc/index.html