The U.S. housing market continues to report mixed trends in January, with a decline in building permit requests and completions, but an increase in housing starts among privately-owned projects, according to the latest U.S. Census Bureau data.
Key takeaways:
- Building permits: Building permits for privately owned housing units in January totaled 1,455,000, a 5.8% drop compared to January 2025 and 5.4% below the revised December 2025 rate. Single-family authorizations in January were at a rate of 873,000; which was 0.9% below the revised December 2025 figure of 881,000. Authorizations of units in buildings with five units or more were at a rate of 453,000 in January.
- Housing starts: In January 2026, privately-owned housing starts totaled 1,487,000, a 9.5% increase over January 2025 and 7.2% above adjusted estimates for December 2025. New construction of single-family homes were at a rate of 935,000, which was 2.8% below the revised December figure of 962,000.
- Housing completions: Completions of privately-owned housing were 4.8% higher than December 2025 projections, but 7.5% below January 2025 figures. Single-family home completions were 1% below the revised December rate.
Industry perspective
According to National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI), builder confidence for new construction of single-family homes rose by one point, but concerns continue.
“Affordability for buyers and builders remains a top concern,” said NAHB Chairman Bill Owens, a home builder and remodeler from Worthington, Ohio. “Many buyers remain on the fence waiting for lower interest rates and due to economic uncertainty. Builders are facing elevated land, labor and construction costs and nearly two-thirds continue to offer sales incentives in a bid to firm up the market.”
