Building permits in the United States experienced a notable decline in September 2024, dropping by 2.9% to a seasonally adjusted annual rate of 1.428 million. This figure fell short of market expectations, which had projected a rate of 1.46 million. The decrease in permits reflects ongoing challenges in the housing market as it grapples with various economic factors.

Significant Changes in Multi-Family and Single-Family Units

The decline was particularly pronounced in the approvals for multi-family units, which plummeted by 10.8% to a rate of 398,000. In contrast, single-family authorizations saw a slight increase of 0.3%, reaching 970,000. This trend highlights a continuing preference for single-family homes amidst a fluctuating market.

Regional Variations in Permit Approvals

Regionally, the data revealed varied trends. The Northeast saw the most significant drop, with permits falling by 13.1% to 126,000. Similarly, the Midwest experienced a decrease of 2.9%, totaling 200,000 permits, and the South reported a 6.1% decline to 765,000. However, the West bucked the trend with a 10.9% increase, reaching 337,000 permits. These regional variations illustrate the differing dynamics affecting the housing market across the country.