United States Construction Market Overview
United States's residential construction market is currently contracting, with housing starts of 1.41M in 2023 — 9% above the 10-year average of 1.30M.
The country's recorded peak was 1.59M units in 2021. Current activity is -11% below that peak.
Among the 21 OECD countries tracked, United States ranks #1 by total housing starts. Year-over-year change is -9.0%, reflecting declining permits and reduced construction activity.
What this means for planning
Use housing starts as a demand signal rather than a direct price quote. A rising starts trend can tighten subcontractor availability and push demand toward framing, concrete, roofing, windows, and site materials. A falling trend can make supplier quotes more negotiable, but it may also reflect slower permitting or weaker buyer demand.
Because United States ranks near the top of the tracked OECD markets by housing-start volume, even modest percentage changes can represent a large shift in material and labor demand.
Related estimating tools
For project-level planning, pair this market page with the material price index, concrete calculator, lumber calculator, and deck cost calculator. Market data explains demand pressure; calculators translate dimensions into order quantities.