U.S. single-family homebuilding weakened again in June, underscoring the pressure that elevated borrowing and construction costs continue to place on the housing market.

Single-family starts fell 0.2 percent to a seasonally adjusted annual rate of 895,000, the third consecutive monthly decline, according to Commerce Department data reported July 17. Permits for future single-family construction dropped 2.4 percent to their lowest level in 10 months.

The broader headline moved in the opposite direction: total housing starts rose 19 percent because construction of multi-unit buildings jumped sharply. That split matters because a strong month for apartment projects can lift the national total even while the market for detached homes remains subdued.

Monthly construction estimates are volatile and subject to revision. One report does not establish a lasting trend, but falling permits point to less single-family activity in the near term. Reuters cited high mortgage rates, land and material costs, and a backlog of unsold new homes as continuing constraints.

Source: U.S. Census Bureau, New Residential Construction ↗

Source: Reuters ↗