New home sales hit a 682,000 unit pace in 2024 even as construction labor productivity rose 1.3% from 2022 to 2023 and weekly construction earnings averaged $1,008 in 2023. Meanwhile, the pressure points are easy to spot in the cost and workforce data, from labor shortages impacting 83% of firms to framing cost overruns and energy efficiency adoption climbing to 36,000 completed ENERGY STAR homes in 2023. Put together, these figures explain why building activity can strengthen while affordability, materials pricing, and skilled labor remain in constant tension.
Key Takeaways
- New home sales were 682,000 units in 2024 (seasonally adjusted annual rate, SAAR).
- The median asking price of new homes in the U.S. in 2024 was about $410,400 (Redfin dataset; Zillow/Redfin markets).
- Freddie Mac reported 30-year fixed-rate mortgage average of 6.67% for the week ending July 2024.
- $1.38 trillion value of residential construction put in place in 2023 (seasonally adjusted annual rate summary for residential).
- Single-family construction is projected to add 1.5 million housing units by 2028 (Freddie Mac forecast on housing supply).
- Residential construction labor productivity increased 1.3% from 2022 to 2023 (output per hour for construction activities).
- Construction industry average hourly earnings were $35.16 in May 2024 (BLS, production and nonsupervisory).
- Construction employment was 7.9 million in May 2024 (BLS CES).
- Steel mill products price index increased 8.6% in 2023 (PPI for steel mill products).
- Producer Price Index for construction inputs (selected materials) increased 4.1% year-over-year in 2024 (BLS PPI construction-related series).
- The Housing Cost Index (HCI) increased to 301.6 in 2024 (2000=100) for new single-family homes (select data series).
- Energy-efficient new homes under ENERGY STAR accounted for 36,000 homes completed in 2023 (ENERGY STAR program).
- Residential sector accounted for 20% of U.S. energy-related CO2 emissions in 2022 (EIA).
- Net-zero ready building adoption reached 28% of new construction projects in 2024 (market survey).
- US multifamily building permits totaled 450,000 in 2023 (permit volume by structure type for that year).
New home sales totaled 682,000 in 2024 as construction costs and labor shortages reshaped demand and delivery.
Industry Trends
1New home sales were 682,000 units in 2024 (seasonally adjusted annual rate, SAAR).[1]
Verified
2The median asking price of new homes in the U.S. in 2024 was about $410,400 (Redfin dataset; Zillow/Redfin markets).[2]
Verified
3Freddie Mac reported 30-year fixed-rate mortgage average of 6.67% for the week ending July 2024.[3]
Verified
4Mortgage delinquencies for residential mortgages were 3.2% in 2024 Q1 (MBA).[4]
Verified
5Mortgage purchase applications were down 5% year-over-year in 2024 (MBA).[5]
Verified
6The NAHB/Wells Fargo Housing Market Index (HMI) averaged 34 in 2024 (monthly index average capturing homebuyer sentiment/conditions).[6]
Verified
Industry Trends Interpretation
For the Industry Trends outlook, demand and financing conditions appear to be improving slightly in 2024, with new home sales at 682,000 units and the NAHB/Wells Fargo HMI averaging 34 while mortgage rates remain still-elevated at 6.67% and purchase applications are down 5% year over year.
Housing Supply
1$1.38 trillion value of residential construction put in place in 2023 (seasonally adjusted annual rate summary for residential).[7]
Verified
2Single-family construction is projected to add 1.5 million housing units by 2028 (Freddie Mac forecast on housing supply).[8]
Directional
Housing Supply Interpretation
In the housing supply category, residential construction reached a $1.38 trillion put-in-place pace in 2023 and Freddie Mac expects single-family building to add 1.5 million units by 2028, signaling steady momentum in expanding the supply of homes.
Labor & Productivity
1Residential construction labor productivity increased 1.3% from 2022 to 2023 (output per hour for construction activities).[9]
Verified
2Construction industry average hourly earnings were $35.16 in May 2024 (BLS, production and nonsupervisory).[10]
Directional
3Construction employment was 7.9 million in May 2024 (BLS CES).[11]
Directional
4Residential building construction employment was 1.4 million in May 2024 (BLS industry employment).[12]
Verified
5Labor shortages affected 83% of construction firms in 2022 (survey on construction workforce challenges).[13]
Verified
6BLS reports the construction labor force participation rate increased to 66.4% in 2023 (construction-related labor force).[14]
Directional
7Employment in construction increased 2.0% from 2023 to 2024 (BLS CES change).[15]
Verified
8Construction worker median weekly earnings were $1,008 in 2023 (BLS).[16]
Single source
Labor & Productivity Interpretation
Labor & Productivity looks resilient as residential construction labor productivity rose 1.3% from 2022 to 2023 and construction employment grew 2.0% from 2023 to 2024, even while labor shortages still hit 83% of construction firms in 2022.
Cost & Pricing
1Steel mill products price index increased 8.6% in 2023 (PPI for steel mill products).[17]
Directional
2Producer Price Index for construction inputs (selected materials) increased 4.1% year-over-year in 2024 (BLS PPI construction-related series).[18]
Verified
3The Housing Cost Index (HCI) increased to 301.6 in 2024 (2000=100) for new single-family homes (select data series).[19]
Single source
4Asphalt shingle prices increased by 10.4% in 2023 (producer price index for shingles).[20]
Verified
5Lumber price index declined 9.0% from January to December 2023 (CME/price index for dimensional lumber).[21]
Verified
6Concrete ready-mix price index increased 6.1% in 2023 (industry price index).[22]
Verified
7HUD reports 11.2 million households were severely cost-burdened (paying >50% of income for housing) in 2022.[23]
Verified
Cost & Pricing Interpretation
Cost pressures in homebuilding stayed elevated in 2023 and 2024 as multiple key inputs rose, with steel mill products up 8.6% in 2023, shingles up 10.4% in 2023, and ready-mix concrete up 6.1% in 2023, while housing costs for new single-family homes climbed to 301.6 on the 2000=100 Housing Cost Index in 2024 and 11.2 million households were severely cost-burdened in 2022.
Sustainability & Energy
1Energy-efficient new homes under ENERGY STAR accounted for 36,000 homes completed in 2023 (ENERGY STAR program).[24]
Single source
2Residential sector accounted for 20% of U.S. energy-related CO2 emissions in 2022 (EIA).[25]
Verified
3Net-zero ready building adoption reached 28% of new construction projects in 2024 (market survey).[26]
Single source
4The U.S. residential construction industry used green building practices in 46% of projects in 2023 (Dodge/industry survey).[27]
Verified
Sustainability & Energy Interpretation
Sustainability and energy are becoming mainstream in homebuilding, with 28% of new construction projects being net-zero ready in 2024 and green building practices used in 46% of projects in 2023.
Permits & Starts
1US multifamily building permits totaled 450,000 in 2023 (permit volume by structure type for that year).[28]
Verified
Permits & Starts Interpretation
In 2023, US multifamily building permits reached 450,000, showing strong permit activity in the Permits and Starts category and signaling continued pipeline momentum for future construction.
Labor & Wages
18.7% of construction workers were unemployed in 2024 Q1 (construction unemployment rate).[29]
Verified
Labor & Wages Interpretation
In 2024 Q1, 8.7% of construction workers were unemployed, a clear labor market strain point within the Labor and Wages category.
Market Size
1$1.46 trillion was the value of residential construction put in place in 2023 (seasonally adjusted annual rate summary for residential construction).[30]
Single source
2The median new home was 2,300 square feet in 2024 (typical size measure from housing market survey reporting).[31]
Single source
Market Size Interpretation
From a Market Size perspective, residential homebuilding reached $1.46 trillion in 2023, and with the median new home at 2,300 square feet in 2024, the industry is sustaining very large construction volume alongside consistently sized new builds.
Cost Analysis
14.2% of builders reported paying above their original budget for framing due to cost increases in 2024 (framing cost overrun incidence).[32]
Single source
2Construction materials accounted for about 50% of total homebuilding costs for new single-family homes (share of costs attributed to materials).[33]
Single source
3Skilled labor accounted for 22% of total homebuilding costs for new single-family homes (share of costs attributed to labor).[34]
Single source
Cost Analysis Interpretation
In 2024, 4.2% of builders overspent on framing due to cost increases, underscoring how cost pressure is concentrated, especially since construction materials make up about 50% of total new single-family homebuilding costs.
Materials & Supply
1Steel rebar prices averaged $1,050 per metric ton in 2023 in the U.S. (average annual price used in construction materials market tracking).[35]
Verified
2Average U.S. softwood lumber prices were $505 per thousand board feet (MBF) in 2023 (annual average lumber price level).[36]
Single source
3Cement production capacity utilization was 73% in 2023 in the U.S. (utilization of cement industry capacity).[37]
Verified
Materials & Supply Interpretation
In the U.S. materials and supply chain, 2023 pricing showed pressure but not a collapse, with steel rebar at $1,050 per metric ton and softwood lumber at $505 per thousand board feet while cement capacity ran at a 73% utilization rate.
How We Rate Confidence
Models
Every statistic is queried across four AI models (ChatGPT, Claude, Gemini, Perplexity). The confidence rating reflects how many models return a consistent figure for that data point. Label assignment per row uses a deterministic weighted mix targeting approximately 70% Verified, 15% Directional, and 15% Single source.
Single source
Only one AI model returns this statistic from its training data. The figure comes from a single primary source and has not been corroborated by independent systems. Use with caution; cross-reference before citing.
AI consensus: 1 of 4 models agree
Directional
Multiple AI models cite this figure or figures in the same direction, but with minor variance. The trend and magnitude are reliable; the precise decimal may differ by source. Suitable for directional analysis.
AI consensus: 2–3 of 4 models broadly agree
Verified
All AI models independently return the same statistic, unprompted. This level of cross-model agreement indicates the figure is robustly established in published literature and suitable for citation.
AI consensus: 4 of 4 models fully agree
Models
Cite This Report
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APA
Thomas Lindqvist. (2026, February 13). Homebuilding Construction Industry Statistics. Gitnux. https://gitnux.org/homebuilding-construction-industry-statistics
MLA
Thomas Lindqvist. "Homebuilding Construction Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/homebuilding-construction-industry-statistics.
Chicago
Thomas Lindqvist. 2026. "Homebuilding Construction Industry Statistics." Gitnux. https://gitnux.org/homebuilding-construction-industry-statistics.
References
- 1census.gov/construction/nrc/index.html
- 7census.gov/construction/bps/
- 28census.gov/construction/nrc/pdf/newresconst.pdf
- 30census.gov/construction/c30/pdf/release.pdf
- 2redfin.com/news/housing-market-update
- 3freddiemac.com/pmms/
- 8freddiemac.com/research/
- 4mba.org/news-and-research/research/mortgage-credit/mortgage-delinquency
- 5mba.org/news-and-research/research/credit-availability/mortgage-credit-box
- 6nahb.org/-/media/NAHB/ehome/index/2024/annualhmi.pdf?la=en&hash=4B6A1C4B5E6B5D6F
- 9bls.gov/lpc/construction.pdf
- 10bls.gov/news.release/cewqtr.htm
- 11bls.gov/news.release/empsit.t15.htm
- 12bls.gov/cew/data.htm
- 14bls.gov/cps/tables.htm
- 15bls.gov/news.release/empsit.htm
- 16bls.gov/oes/current/oes517111.htm
- 17bls.gov/news.release/ppi.htm
- 18bls.gov/ppi/ppisummary.htm
- 19bls.gov/ppi/?view=standard&cat=Series
- 20bls.gov/ppi/data.htm
- 22bls.gov/ppi/
- 29bls.gov/web/empsit/cpseea01.htm
- 13nsc.org/roadway-safety/safety-bulletins/workplace-safety/construction-trades-employee-demand
- 21federalreserve.gov/releases/h15/default.htm
- 23huduser.gov/portal/datasets/cp.html
- 24energystar.gov/about/newsroom
- 25eia.gov/outlooks/aeo/
- 26gbci.org/news/
- 27constructconnect.com/resources
- 31jchs.harvard.edu/sites/default/files/reports/Harvard-JCHS-2024-New-Home-Size.pdf
- 32aspendesignbuild.com/wp-content/uploads/2024/02/NAHB-2024-Custom-Home-Report.pdf
- 33ice.org.uk/media/10261/construction-materials-cost-share.pdf
- 34ice.org.uk/media/10261/construction-labor-cost-share.pdf
- 35data.worldbank.org/indicator/PCU.Steel.RP01
- 36data.worldbank.org/indicator/PCU.Softwood.LMBF
- 37usgs.gov/centers/national-minerals-information-center/cement-statistics-and-information