The number of new housing starts in the United States rebounded in June, with a significant increase in the construction of multi-family residential buildings.

In June, new home construction in the United States surged after a significant decline in the previous month, driven mainly by a rebound in apartment construction. Official data released on Friday showed that new home construction in June increased by 19%, equivalent to an annual rate of 1.43 million units, reaching the highest level since March. This data exceeded the expectations of all economists surveyed. The construction of multi-family housing increased by over 76%, with an annual rate of 532,000 units, after plummeting nearly 40% the previous month. Meanwhile, single-family home construction decreased by 0.2%, slipping again after a sluggish spring for builders. The rebound in multi-family housing construction highlights the volatility of monthly data, especially in the apartment sector. However, high home prices and mortgage rates have been suppressing demand for single-family homes, while these factors may be supporting demand for apartments. At the same time, single-family home builders have been struggling with high inventory and weak demand overall. This has led many builders to offer sales incentives to attract buyers.