|The National Association of Home Builders’ analysis of Census Construction Spending data shows total private residential construction spending rose 1% in November 2017 to a seasonally adjusted annual rate of $530.8 billion. It was the highest level since February 2007. Total private residential construction spending was 7.9% higher than a year ago.
The monthly gains are largely attributed to the strong growth of spending on single-family construction, where spending rose to a $270.1 billion annual pace in November 2017, up by 1.9%. It was the highest monthly annual rate since November 2007. This is in line with the strong readings of single-family housing starts and solid builder confidence.
Remodeling spending increased by 0.7% in November. However, multi-family construction spending slipped 1.3% after the September and October declines, and was 1.7% lower since a year ago.
The NAHB construction spending index has shown a strong growth in new multi-family construction from 2010 to April 2017, and a steady growth in single-family construction and home improvement spending.