Total housing starts fell 5% in June to a seasonally adjusted annual rate of $932.3 billion, according to Dodge Construction Network.
Non-residential starts fell 14% during the month and residential construction fell 6%. On the contrary, housing starts excluding construction gained 13% in June due to the start-up of several large solar projects.
Year-to-date, total construction is up 5% in the first six months of 2022 compared to the same period of 2021. Non-residential building starts are up 13% and construction starts are up Residential starts rose 3%, while non-construction starts fell 2%. For the 12 months ending in June 2022, the total number of housing starts was 7% higher than for the 12 months ending in June 2021. Non-residential housing starts increased by 17%, residential starts rose 5% and non-construction starts fell 2%.
“Construction markets are getting jittery as recession risks increase,” said Richard Branch, chief economist for Dodge Construction Network. “While projects are still being planned, the speed has slowed, reflecting uncertainties about the impact of rising interest rates on the economy, building material prices and ultimately , construction starts In the near term, construction-related indicators are likely to be more volatile than normal, especially in the commercial sector.
Unbuilt construction starts increased 13% in June to a seasonally adjusted annual rate of $203.0 billion. The increase was fueled by a sharp rise in the utility/gas category due to the start-up of a large solar project in Nevada and a transmission line through Utah and Wyoming. Miscellaneous non-construction starts rose 21% in June, while highway and bridge starts fell 6% and environmental starts slipped 16%. In the first six months of the year, total non-construction starts were 2% lower than in 2021. Highway and bridge starts were up 15% on six months, but environmental public works projects were down 4%. At the same time, miscellaneous non-construction starts fell 19% and utility/gas starts plunged 28% year-on-year.
For the 12 months ending June 2022, total non-construction housing starts were 2% lower than the 12 months ending June 2021. increased by 3% and construction of streets/bridges increased by 7%. Miscellaneous non-construction starts were down 27% and utility/gas plant starts were down 5%.
Non-residential building starts fell 14% in June to a seasonally adjusted annual rate of $301.0 billion. This is a broad-based decline for the month, with commercial housing starts down 16%, manufacturing starts down 14% and institutional starts down 12%. In the first six months of 2022, non-residential building starts increased by 13% compared to the first six months of 2021. Commercial housing starts increased by 14% and institutional housing starts increased by 1%, while manufacturing housing starts have increased by 83% since the start of the year. base.
For the 12 months ending in June 2022, non-residential building starts increased by 17% compared to the 12 months ending in June 2021. Commercial housing starts increased by 13%, institutional starts increased 7% and manufacturing starts increased 109% on a rolling 12-month basis. .
Residential building starts fell 6% in June to a seasonally adjusted annual rate of $428.3 billion. Single-family starts fell 7% and multi-family starts fell 3%. In the first six months of 2022, residential housing starts were up 3% compared to the first six months of 2021. Multi-family starts rose 23%, while single-family dwellings fell 4%.
For the 12 months ending in June 2022, residential housing starts improved 5% compared to the same period ending in June 2021. Single-family starts were 2% lower and multi-family starts were 25% stronger on a 12-month rolling sum basis.
Source: Dodge Data and Analytics