U.S. Housing Starts Dropped in July

By Dean Seal


Housing starts fell sharply below expectations in July as home-builder sentiment remained muted. Here are the main takeaways from the Commerce Department's report released Tuesday:

-Housing starts, a gauge of new residential construction, dropped 12.4% in July to 1.239 million. Economists polled by The Wall Street Journal expected a reading of 1.34 million and for starts to slide 6.1% over the month.

-Starts were down 13.5% in July from the same month in 2025.

-Residential permits, another measure of trends in housing construction, were up 5% at 1.443 million in July. Economists polled by The Wall Street Journal expected a reading of 1.37 million in July.

On Monday, data from The National Association of Home Builders' showed builder sentiment remains weak as high mortgage rates, rising construction costs and economic uncertainty keep affordability concerns top of mind in the housing market.


Write to Dean Seal at dean.seal@wsj.com


(END) Dow Jones Newswires

August 18, 2026 09:26 ET (13:26 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.

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