Roofing and Siding Contractors NAICS 238160, 238170

Sep 9, 2025 - New Home Sales Drop

• New single-family home sales fell 0.6% month-over-month and were down 8.2% year-over-year in July 2025, according to the US Census Bureau. July’s total new home sales reached 652,000 units. However, home sales beat analysts’ outlook; economists polled by Reuters had expected July sales to reach only 630,000 units. The Chairman of the Federal Reserve has hinted at a possible rate cut during the central bank’s meeting in September. However, Fed rate policy will likely depend heavily on August employment and inflation data due in September. High mortgage rates continue to outpace wage growth, keeping home purchases out of reach for many would-be buyers. Some industry watchers expect new home sales to remain under pressure from interest rates through the end of the year.
• Nearly a third of US construction firms have been impacted by intensified immigration enforcement in the last six months, according to a recent report by the Associated General Contractors of America (AGC) and the National Center for Construction Education and Research (NCCER). More stringent enforcement has slowed project delivery and left 88% of firms with craft worker vacancies. One-fifth of construction firms surveyed reported that subcontractors had lost workers, 10% reported increases in absenteeism due to actual or rumored enforcement actions, and 5% said jobsites had been visited by immigration agents. Only 10% of firms use visa programs like H-2B due to approval challenges, leaving many vulnerable to enforcement actions. Industry leaders are urging Congress to increase funding for career and technical education and to create a construction-specific visa program to stabilize the workforce and support long-term growth.

• Demand for building design services dropped in July from the prior month, as architectural billings remain soft, according to a July report by the American Institute of Architects (AIA). The AIA’s Architecture Billing Index (ABI) fell to 46.2 in July from June’s reading of 46.8. Any reading of 50 or more indicates growth in architectural billings. The score for new project inquiries dropped to 53.6 in July compared to 53.6 in June, but the index for the value of new design contracts increased from 46.0 to 47.9. The AIA’s Chief Economist, Kermit Baker said, "Business conditions remain challenging for architecture firms nationwide, with billings declining across all regions in July. Client inquiries into new projects continue to build. Still, while commercial and institutional sectors show some signs of stability, the multifamily residential sector still is facing significant headwinds."
• Multifamily developer confidence rose in the second quarter of 2025, according to the National Association of Home Builders’ (NAHB) latest Multifamily Market Survey. The Multifamily Production Index (MPI) increased two points in Q2 2025 to 46 compared to the second quarter of 2024. The Multifamily Occupancy Index (MOI) rose by one point to 82 over the same period. An MPI or MOI reading of 50 or more indicates that multifamily production or occupancy, respectively, is growing. Multifamily developers’ headwinds include a tight lending environment, higher borrowing costs, and regulatory difficulties. As multifamily projects currently under construction come online, the NAHB projects a modest gain in multifamily starts in 2025 compared to 2024, but starts will remain well below levels seen in 2023.