---
title: "U.S. new housing starts increased in April, with a recovery in multi-family residential construction"
description: "In April, new housing starts in the United States increased by 1.6%, reaching an annual rate of 1.36 million units, mainly due to a rebound in multi-family housing construction, which offset the decli"
type: "news"
locale: "en"
url: "https://longbridge.com/en/news/240597415.md"
published_at: "2025-05-16T13:13:22.000Z"
---

# U.S. new housing starts increased in April, with a recovery in multi-family residential construction

> In April, new housing starts in the United States increased by 1.6%, reaching an annual rate of 1.36 million units, mainly due to a rebound in multi-family housing construction, which offset the decline in single-family housing construction. Single-family housing starts fell by 2.1%, the lowest level since July of last year. Building permits decreased by 5.1%, indicating that new housing starts may slow in the coming months. High inventory and mortgage rates close to 7% pose growth challenges for the real estate industry. In May, builder confidence in the residential market fell to its lowest level since the end of 2023

In April, the number of new housing starts in the United States increased as the rise in multi-family residential construction offset the decline in single-family home building. According to government data released on Friday, new housing starts rose by 1.6% in April, reaching an annualized rate of 1.36 million units. This aligns with the median expectations of economists surveyed. Single-family housing starts fell by 2.1% to an annualized rate of 927,000 units, the lowest since July of last year. Multi-family housing starts increased by 10.7%. Single-family building permits dropped by 5.1%, nearing a two-year low, indicating that new home construction is likely to slow in the coming months. The data on new housing starts and building permits suggest that, due to high inventory levels and mortgage rates approaching 7%, the real estate sector continues to struggle to gain momentum. In May, builder confidence in the residential market fell to its lowest level since the end of 2023, as companies expect tariffs to further increase costs amid home prices nearing record highs

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> **Disclaimer**: This article is for reference only and does not constitute any investment advice.