Single-family housing starts in the U.S. 1980-2021, with 2022 and 2023 forecasts

In the United States, the projected number of single-family housing unit starts in 2023 is estimated to be over 1.2 million. Housing starts are the number of new residential housing units where construction has begun.

Housing Starts

Housing starts are measured during a time period and in a specific location. It is an indicator of economic strength, because it can suggest what direction the economy is going in. However, it is more important to understand what types of houses are being built. If there is a decrease in single-family units, this indicates that there will be a shortage of single-family homes in the future. Single-family homes were the most common type of home purchased in 2019 in the United States, which means that demand for single-family units is unlikely to wane. As a result, there seems to be an increase in single-family home prices in the upcoming years. Additionally, a decrease in single-family unit starts indicates that people want more affordable options and are looking at multifamily units instead. It is also an indicator for construction companies. These companies are able to locate where the demand is highest and decide to build in these areas instead.

Single family housing units in the United States

The median size of a single family housing unit in the United States based on square footage has remained relatively consistent over the past two decades. The cost of housing varies around the United States. In 2020, the most expensive median price of an existing single-family home was on the West coast. However, it was in the Northeast where the median price of a new single-family home was the most expensive.