July single-family housing starts slump to lowest level since 2022

July saw a 9.9% reduction in single-family housing starts, reaching a seasonally adjusted annual rate of 808,000 units—the lowest figure recorded since 2022. Compared with the same month last year, the rate is down 15.7%, and total new home starts, encompassing apartments and condominiums, fell 12.4% to an annual pace of 1.239 million, marking the second slowest level since June 2020. Although construction has slowed, the current pace still exceeds the average of the decade before the pandemic.

Historical context shows housing starts peaked at 2.273 million in early 2006 and hit a low of 478,000 in April 2009. On the supply side, permits for single-family homes increased 2.5% to 894,000 units, a 1.1% rise over the previous year, while total permit applications grew 5.0% to 1.443 million units, surpassing expectations.