August 2, 2012 (Shirley Allen)
Spending on private residential construction increased for a third consecutive month in June with both single-family and multi-family construction posting similar gains from May according to the U.S. Census Bureau.
Spending for private residential construction was at a seasonally adjusted annual rate of $265.6 billion in June, up 1.3 percent from a revised estimate of $262.1 billion in May.
Total monthly spending by builders for both residential and non-residential private construction was at a seasonally adjusted annual rate of $567.9 billion, up 0.7 percent from the revised estimate of $564.2 billion in May.
Builders spent 12.1 percent more on private residential construction in June than they did a year ago when $236.9 billion was spent, while the total amount builders spent for all private construction was 13.1 percent higher than the $502.1 billion spent in June of last year.
Construction spending for new private single-family homes increased 3.0 percent from May to June with builders spending a seasonally adjusted $125.9 billion in June compared to $122.2 billion in May.
Single-family home construction spending was 18.6 percent higher than in June of 2011, when builders spent $106.1 billion on building new single-family homes.
Multi-family private construction spending was 3.4 percent higher than in May, climbing to a seasonally adjusted annual rate of $21.7 billion. In May, builders spent $21.0 billion on multi-family construction.
Multi-family construction spending was 48.8 percent higher than in June of last year, when builders spent a seasonally adjusted $14.6 billion on multi-family dwellings.
The remainder of the private residential construction spending in June, $118.0 billion, was money spent for any type of construction to an existing structure ranging from remodeling to additions to swimming pools to replacement of major systems such as HVAC systems. This was down slightly from the $119.0 billion spent in May but up from the $116.2 billion spent in June of 2011.
Tags: residential construction spending, single-family homes, multi-family dwellings, seasonally adjusted annual rate, remodeling, additions