According to the U.S. Census Bureau, construction spending during December 2022 was estimated at a seasonally adjusted annual rate of $1,809.8 billion, 0.4% (± 0.8%) below the revised November estimate of $1,817.3 billion. The December figure is 7.7% (±1.2%) above the December 2021 estimate of $1,681.0 billion.
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New Home Sales Increase 2.3%
While new home sales posted a modest gain in December, elevated mortgage rates and higher construction costs continue to hinder housing affordability and put a damper on consumer demand. Sales of newly built, single-family homes in December increased 2.3% to a 616,000 seasonally adjusted annual rate from a downwardly revised reading in November, according to newly released data by the…
Read MoreTotal Construction Starts Increase in December
Total construction starts jumped 27% in December to a seasonally adjusted annual rate of $1.185 trillion, according to Dodge Construction Network. During the month, nonresidential building starts increased 51%, nonbuilding starts increased 30%, and residential starts rose less than one percent. Across 2022, total construction starts were 15% higher than in 2021. Nonresidential building starts rose 38% over the year,…
Read MoreSingle-Family Starts Edge Higher as Multifamily Production Weakens
Single-family housing starts posted a double-digit percentage gain in December, but production is running well below a rate of 1 million units annually, indicating ongoing weakness in the housing market as high construction costs and elevated interest rates continue to present affordability challenges. It takes 400 tons of aggregates to construct the average modern home, according to the National Stone,…
Read MoreDodge Momentum Index Wraps up 2022 with December Growth
The Dodge Momentum Index (DMI), issued by Dodge Construction Network, improved 6.6% (2000=100) in December to 222.2 from the revised November reading of 208.3. In December, the commercial component of the DMI rose 8.4%, and the institutional component ticked up 2.7%. “One of the key construction storylines for 2022 was the return of enthusiasm and optimism in prospects for nonresidential…
Read MoreConstruction Spending Up Slightly for Month; Significantly for Year
According to the U.S. Census Bureau, construction spending during November 2022 was estimated at a seasonally adjusted annual rate of $1,807.5 billion, 0.2% (±0.8%) above the revised October estimate of $1,803.2 billion. The November figure is 8.5% (±1.3%) above the November 2021 estimate of $1,665.2 billion.
Read MoreNovember New Home Sales Up as Interest Rates Fall Back
While new home sales received a slight bounce in November from moderating mortgage rates, the housing market continues to struggle because of ongoing supply chain disruptions, elevated construction costs and challenging affordability conditions. Sales of newly built, single-family homes in November increased 5.8% to a 640,000 seasonally adjusted annual rate, according to newly released data by the U.S. Department of…
Read MoreSingle-Family Housing Starts Continue to Fall
Single-family housing starts continued to fall in November, with the pace of construction down 32% since February when mortgage rates began to rise. The housing market continues to weaken because stubbornly high construction costs, elevated interest rates and flagging demand are harming housing affordability. And with the count of multifamily units under construction reaching a near 50-year high, multifamily permit…
Read MoreTotal Construction Starts Fall in November
Total construction starts fell 18% in November to a seasonally adjusted annual rate of $926.3 billion, according to Dodge Construction Network. During the month, nonresidential building starts lost 25%, nonbuilding shed 21%, and residential starts dropped 5%. Highway and bridge starts fell 32%. Year-to-date, total construction starts were 14% higher in the first 11 months of 2022 compared to the…
Read MoreDodge Momentum Index Rises for Third Consecutive Month
The Dodge Momentum Index (DMI), issued by Dodge Construction Network, increased 3.8% (2000=100) in November to 207.2 from the revised October reading of 199.6. During the month, the DMI continued its steady ascent, with the commercial component rising 4.3%, and the institutional component ticking up 2.7%.
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