According to recent analysis from the National Association of Home Builders (NAHB) of the Census Bureau’s Quarterly Starts and Completions by Purpose and Design, construction of single-family build-to-rent (SFBTR) homes declined throughout 2026. Compared to single-family housing construction, SFBTR faces stronger headwinds from the cost of financing, increased multifamily supply and regulatory action. Q2 2026 (15,000) posted an estimated 3,000 fewer starts than Q2 2025 (18,000). NAHB’s analysis pointed out that over the past four quarters, SFBTR construction starts fell by about 16%. “While the market share of SFBFR homes is small,…
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How builder size impacts material costs
A majority of builders agree that building a home is 15% more expensive now than it was this time last year. According to the National Association of Home Builders’ (NAHB) July 2026 NAHB/Wells Fargo Housing Market Index (HMI), builders feel the pain of these increases, but especially the smaller builders. The HMI results aligned with reality, with 28.4% of builders reporting that common material prices increased by 5% to 9.99%. Analysis of July’s PPI indicated that the price of goods increased 6.7% year over year. “Not all builders experienced the…
Read MoreBuilding material prices see growth in July
According to the National Association of Home Builders’ (NAHB) Producer Price Index, residential building material prices rose 0.4% in July 2026 and were up 5.0% from last year. The price index for inputs to new residential construction fell 0.1% in July, but was up 6.5% from the year before. The price of goods used in new residential construction, including energy, was up 0.1% over the month and up 6.7% from last year, while the price of services was down 0.3% over the month and up 6.2% from last year. Among…
Read MoreExisting home sales 0.7% higher than last year
According to the National Association of Realtors, on a year-over-year basis, existing home sales were 0.7% higher than last year. However, total existing home sales, including single-family homes, townhomes, condominiums and co-ops, fell 1.7% to a seasonally adjusted annual rate of 4.06 million in July 2026. The July median sales price of all existing homes was $434,100, up 2.0% from last year. This marks the 37th consecutive month of year-over-year increases. Existing home sales in July were mixed across the four major regions: Sales fell in the South and Midwest,…
Read MoreCalifornia, Texas and Florida drive remodeling activity
According to first-quarter results from the National Association of Home Builders (NAHB) State Projections of Remodeling (SPR), three states account for the largest shares of remodeling activity across the nation: California, Texas and Florida. In the first quarter of 2026, California led remodeling activity, accounting for 8% of the market at $22.2 billion. Texas followed close behind at $20.2 billion, or 7.3%, followed by Florida at $15.4 billion, or 5.5%. For market growth, the SPR identified five states as having the largest increases in remodeling spending in the first quarter:…
Read MoreMedian lot value cools off
A new analysis from the National Association of Home Builders (NAHB) reported that the national median lot value declined in 2025. As the first barrier to building spec homes, the estimated 4% decrease is a positive trend for builders. While this data varies based on region, the Northeast and West reported record highs and a trend towards smaller lots. Builder concerns over lot shortages decreased since 2021, when it hit an all-time low. “According to the May 2025 NAHB/Wells Fargo Housing Market Index (HMI) survey, 64% of builders rated the…
Read MoreRemodeling spending outpaces the rest of residential construction
New data from the U.S. Census Bureau indicated that private residential spending decreased by 0.03% in June. Remodeling and home improvement was the only sector to increase in June, but only by 0.01%. In May, the remodeling sector contributed to the overall bump in construction spending. It was then revised to a 0.4% decline. Compared to a year ago, private spending for remodeling is down 7.2%. Despite the decrease, overall sentiment for remodeling remains positive with continued demand. “In contrast, improvement spending has been on an upward trend since 2023, supported…
Read MoreConstruction employment up 64,000 jobs nationwide
Data and analysis on construction employment indicate the sector remains stronger now than this time last year. According to the Bureau of Labor Statistics, employment posted gains in June, with a majority of states gaining jobs. Of the regions, Texas reported the largest numerical increase at 5,200 jobs, but percentage-wise, New Mexico recorded a+3.2% jump. California faced the sharpest numerical decline of 4,100, while Montana fell 1.6%. “Year-over-year, construction employment increased by 64,000 jobs nationwide, a 0.8% gain compared to June 2025. Texas led all states with an increase of…
Read MoreVinyl siding leads exterior wall materials
Research from the National Association of Home Builders (NAHB) shows that vinyl siding is the most used exterior wall material for single-family homes. The material is used on over a quarter of all homes, overtaking stucco for only the second time since 2018. The study also shows a strong trend of growth for fiber cement siding, steadily increasing from 3.20% to 22.61% over the past 25 years. The use of brick siding declines, falling from 24.5% in 2012 to 16.76% in 2025. The popularity is divided geographically, on par for…
Read MoreRemodeling market remains positive in second quarter
In the second quarter of 2026, the National Association of Home Builders Remodeling Market Index (RMI) posted a reading of 61, down one point compared to the previous quarter. Even with this slight decline, remodeler sentiment remains the standout sector within the housing industry. With current mortgage rates above the median outstanding rate for existing homeowners, the incentive to remodel instead of purchasing a new home persists due to this lock-in effect. The RMI is based on a survey that asks remodelers to rate various aspects of the residential remodeling…
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