Builders are adjusting residential construction activity in response to affordability constraints and financing challenges, with single-family permitting slowing while multifamily permits remain steady, according to the National Association of Home Builders (NAHB). Because permits typically precede construction starts, these trends offer insight into near-term residential building activity.
Through the first ten months of 2025, 787,122 single-family permits were issued nationwide, down 7% from 846,446 in the same period in 2024. In contrast, multifamily permitting rose 5.7% year-over-year, totaling 426,352 units.
Regional trends show a mixed picture. For single-family permits, only the Midwest saw growth (+0.9%), while the Northeast declined 2.7%, the South 7.9% and the West 10.5%. Multifamily permits increased in three of four regions, led by the West (+15.6%), the Midwest (+14.6%) and the South (+5.7%). The Northeast fell 15.9%, largely due to a 28% drop in the New York–Newark–Jersey City metro.
At the state level, 15 states recorded gains in single-family permits, ranging from +12.6% in New Hampshire to +0.8% in West Virginia. The remaining 35 states and D.C. saw declines, with Nevada posting the steepest drop at 22.4%. The ten states with the highest single-family activity accounted for 62% of nationwide permits, led by Texas (122,293 permits, down 10.3%), Florida (-9.8%) and North Carolina (-5.8%).
Multifamily permits increased in 29 states and D.C., while 21 states saw declines. Mississippi led with a 142.6% surge in multifamily permits, while Maryland posted the largest decline at -44.5%. The top ten states issued 60.2% of all multifamily permits, with Texas up 2.9%, Florida up 27.8% and California up 19.8%.
At the metro level, single-family permitting shows a patchwork of performance. Houston led the country in volume with 40,471 permits but saw activity decline 11% year-to-date. Nearby Dallas followed with 34,778, down 14%, while Phoenix experienced a sharper 23% decline to 20,318. Atlanta and Charlotte also saw declines, with 19,610 and 14,211, respectively, down 12% and 13%. Austin fell 11% to 12,890, and Nashville slipped 9% to 11,511.
Not all metros fell, however, with Tampa and Los Angeles bucking the trend, rising 4% and 9% to 11,893 and 10,647 permits, respectively, while Orlando was largely flat, dipping only 2%.
Multifamily permitting painted a different picture, with growth concentrated in several high-demand metros. New York led the country with 26,676 permits but saw a steep 28% decline. Dallas showed modest growth, up 5%, while Houston surged 43% and Miami climbed 45%. Orlando posted the largest gain, up 66% to 12,046 permits, followed by Columbus at 47%. Los Angeles grew by 7%, while Phoenix and Austin experienced declines of 13% and 22%, respectively. Atlanta also posted a notable 24% drop, highlighting that multifamily permitting remains highly uneven across the nation.
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