Overall housing starts decreased 5.2% in September to a seasonally adjusted annual rate of 1.22 million units, according to a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau, as analyzed by the National Association of Home Builders (NAHB). NAHB said builders faced higher financing and building material costs and ongoing labor shortages.
- Single-family starts: down 4.6% to an 859,000 annual rate, but up 2.6% from September 2025.
- Multifamily starts: down 6.7% to an annualized 362,000 pace, and down 24.9% from September 2025.
- Permits: overall permits fell 0.2% to a 1.40-million-unit rate. Single-family permits fell 4% to 845,000 (down 4.8% year over year). Multifamily permits rose 6.1% to 555,000 (down 0.2% year over year).
- Regional year-to-date starts: Northeast up 8.3%, Midwest down 2%, South down 0.3%, West down 6.3%.
- Regional year-to-date permits: Northeast up 10.6%, Midwest up 2.2%, South down 3.2%, West unchanged.
NAHB Chairman Bill Owens said high mortgage rates, affordability challenges and rising construction costs held back building, and that near-term construction depends on rates, financing conditions and efforts to ease regulatory barriers. NAHB’s Danushka Nanayakkara-Skillington said the September single-family data align with NAHB’s forecast of lower production in 2026, with further declines expected in 2027 as rates stay elevated and material costs rise.
Why it matters
The figures show how new-home production is trending across single-family and multifamily segments and regions. Builders, agents and buyers can use them to gauge future supply.
Source: NAHB, October 20, 2026. Read the original release
