Construction of new houses fell another 4.2 percent in October, to an annualized 1.43 million units, and are 9 percent below the pace set in October 2021.

 

  • Starts have fallen 21 percent from the 1.8 million pace recorded in April — likely the result of skyrocketing mortgage rates, which have more than doubled this year.  
  • Single- and multifamily segments each fell for the month: single-family construction dropped 6.1 percent to 865,000 homes. Multifamily starts dipped 1.2 percent to 570,000 units, however they are 18 percent higher than October 2021.
  • Year-to-date, multifamily starts are 17 percent ahead of last year, with 449,000 multifamily units started from January through October — more than any year since 1986 — to meet the need for rental units.
  • Only the South registered a YOY gain, up 7 percent from October 2021. The Northeast is down 35 percent, with the West and Midwest each down 11 percent.
  • The overall number of houses under construction inched up by 0.8 percent in October to a record 1.72 million.