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Total construction spending has increased in November 2022 to 1.807 trillion dollars up from 1.803T in October of 2022. Over the 1 year period from November 2021 to November 2021 total put in place spending increased by +8.5% from 1.665T. This breaks down into $930b in Non-residential spending and $877b in residential spending. Non-residential construction spending by sector breaks up into 2 major categories, public and private. Private construction has increased by 8.1% from November 2021 and 0.3% from October 2022. Large increases in spending on manufacturing, and lodging are keeping up total spend at +43.2% and +30%. We see…moreNovember 2022 Put in Place Construction Spending – Census Bureau

Each month the United States Census Bureau releases a report on new residential construction in which they track units permitted, units authorized but not started, units started, units under construction, and units completed. Units permitted is a leading indicator for the US economy and provides insight for an economic forecast. For November 2022 total new residential permits issued decreased -11.2% from October 2022 and -22.4% from November 2021. Given rising interest rates the number of purchasers in the market has decreased, decreasing the need for new units. While both single-family permits and multi-family permits have seen month/month and year/year declines,…moreNovember 2022 Residential Construction – U.S. Census Bureau

Total Construction Spending in August was $1.781 trillion, down –0.7% from $1.793 trillion. However, total construction spend has increased 8.5% from $1.641 trillion in August of 2021. Compared against the CPI inflation rate of 8.3% we can say the real total construction spend has increased .2% from last year, meaning the total volume of work has stayed on pace with last year. However, using a construction cost index we may not agree with this assessment as the rise in cost of construction materials has outpaced the cost of other material goods.   Of the total construction spend ~48% is non-residential construction.…moreUS Census Bureau Construction Put-In-Place Spending August 2022

Each month the United States Census Bureau releases a report on new residential construction in which they track units permitted, units authorized but not started, units started, units under construction, and units completed. Units permitted is a leading indicator for the US economy and provides a sample picture for an economic forecast. While it is not the only indicator it is  the most useful in this report.   In August of 2022 the total number of permits granted fell by -10% from July of 2022 and -14.4% from August of 2021. In the period from July ‘22 to August ‘22 we…moreAugust 2022 Residential Construction – U.S. Census Bureau

Newly issued permits for residential construction increased by +1.1% from July 2021 but declined -1.3% from June 2022. Permits for single family homes fell -4.3% from last month and have fallen -11.7% from last year. This suggests that the demand for new homes seen during the pandemic is subsiding. Additionally we see a +2.5% increase in permits for multi-family housing from last month and a +26.2% increase from last year. This signals investors are continuing to return to the market after largely leaving during the pandemic. Of those units authorized, those not started increased by +5% from last month and…moreJuly 2022 Residential Construction – U.S. Census Bureau

July 2022 Value of Construction Put in Place declined -0.4%. From July 2021 however, we see an 8.5% increase. This suggests that the total volume of construction work has stayed fairly flat over the year as the inflation rate hovers around 8.5%. Residential Construction has seen a -1.5% fall from last month but the total volume of residential construction has increased. This is evidenced by the +14% increase in spending from July 2021, 5.5% higher than the inflation rate. Non-residential construction has seen a dip in volume over the past year as the total spend has increased by +3.1%, 5.4%…moreJuly 2022 P.I.P Spending – U.S. Census Bureau

Looking at the June 2022 Put-in-Place construction spending provided by the United States Census Bureau we see that total construction spending has fallen from last month down -1.1%. This is worrying because from June 2021 construction P.I.P. has grown +8.3%. While that may sound optimistic, inflation has been +8.5%. That means from June 2021 to July 2022 real P.I.P. value has fallen -0.2%. In the private sector we see the largest breakdowns this month from the residential single-family market, down -3.1%. Overall private residential construction spending is down -3.1% from last month. This breakdown in spending is followed by the…moreJune 2022 P.I.P Spending – U.S. Census Bureau

In June 2022 residential permits issued dropped -0.6% in total from May 2022 while rising +1.4% from June 2021. However, the total change in permits issued does not bely the entire truth. The single family market, which has been holding up the construction industry throughout the pandemic, has seen a -8% decrease in permits issued from May 2022 and -11.4% decrease from June 2021. In the multi-family market we see a much different story, where investors had once shied away during the pandemic we see them coming back in numbers. Permits issued increased +13.1% from last month and +27.8% from…moreJune 2022 Residential Construction – U.S. Census Bureau

Overall construction spending has decreased slightly from April 2022 to May 2022 by -0.1%. Broken into sectors, residential spending increased by +0.2% while non-residential construction declined -0.6%. Private construction saw non change from last month while Public Construction declined -0.8%.  From May of 2021 total spending has increased +9.7% while inflation over this period increased by +8.6%. Taking inflation into account real construction spending growth of +1.1% occurred over the period May 2021 to May 2022. In nominal terms, non-residential construction saw a +1.0% increase in construction spending while residential saw +18.7%. Private construction increased by 13.2% from May 2021…moreMay 2022 P.I.P. – US Census Bureau

New residential construction report for May 2022 from the United States Census Bureau  reveals a large decrease in both single family and multi-family building permits from last month. A total decrease in permits by -7.0% from last month is a souring signal for home builders, however permits did increase year over year by +0.2%. Single family homes have fallen -5.5% from April 2022 while multi-family units have fallen -10.0%. From May 2021 single family homes are down -7.9% while multi-family are up +19.8%. This suggests that while investors have been coming back to the market, there once again are rising…moreMay 2022 Residential Construction – US Census Bureau