Multi-Family Construction Surges 76% in June as Single-Family Homes Trail Behind

Construction of across the U.S. stalled in June as builders continued pulling back due to high mortgage rates, but the multi-family sector roared back to life, the U.S. Census Bureau reported on Friday.

Single-family housing starts last month were at a seasonally adjusted annual rate of 895,000, down 0.2% from June.

However, total private-owned housing starts surged 19% month over month and 3.5% year over year to 1,427,000, driven up by a staggering jump in multi-family construction.

According to the federal agency, the monthly rate for units in buildings with five units or more was 513,000, up 76% from May’s 295,000 pace, which was the lowest level in over a year.

Meanwhile, 1,367,000 residential building permits were issued nationwide in June, down 3% from May and 2.3% below the June 2025 pace. 

Single-family permits dipped 2.4% month over month, with 871,000 authorizations granted. 

However, in welcome news for homebuyers, June saw total private housing completions rise 3.3% from a month ago and 1.5% compared to last year to 1,392,000. 

Single-family completions performed even better, jumping 6.6% from May to a rate of 964,000.  

This is a developing story. Please check back for updates.

Snejana Farberov is a reporter at Realtor.com covering the U.S. housing market and the latest domestic real estate trends. She has worked as a general assignment journalist in New York City and Long Island for 16 years, writing for New York Post, Daily Mail, and News 12. Snejana earned bachelor’s degrees in journalism and Italian from St. John’s University, followed by a master’s degree from Columbia University School of Journalism.