U.S. residential construction shows modest growth despite rising material and labor costs. In August 2025, about 1.31 million building permits were issued, with housing starts at 1.31 million and completions at 1.61 million. Construction spending slightly declined in mid-2025 but the industry's 2023 value rose 7% to nearly $2 trillion. Costs for materials like cement and HVAC surged, pushing average single-family home construction costs to $428,215 in 2024, up $130,000 since 2020. Texas leads in housing permits, while the South has the highest regional approvals.