Surveying and Mapping Services NAICS 541370

Jun 15, 2026 - Fitch Downgrades Outlook for Builders, Building Products

• Fitch Ratings revised its 2026 outlooks for the US homebuilding and North America building products sectors to deteriorating from neutral. The agency cited affordability challenges, weak consumer sentiment, and mortgage rates expected to remain near 6.5%. For surveying and mapping services firms, weaker single-family construction activity and slower housing turnover could reduce demand for residential boundary surveys, subdivision planning, site development, and other land-related projects tied to new home construction. Fitch expects new home sales to decline 2.5% and single-family housing starts to fall 4.5% this year, while homebuilders cut prices and offer incentives to attract buyers. Nonresidential construction tied to data centers and power infrastructure is helping offset some residential weakness, creating opportunities for surveying and mapping firms serving those projects.
• Some deep-pocketed investors are betting on the long-term viability of the US home-building market, despite ongoing industry challenges, according to The Wall Street Journal. Berkshire Hathaway's agreement to acquire builder Taylor Morrison in May followed several recent US home builder purchases by Japanese firms. Large investors see opportunities to improve efficiency through modular construction. About 15% of new homes in Japan use modular construction, compared with only 3% in the US, according to UBS. A UBS study suggests modular building can reduce waste by 20%, helping builders cope with margin pressure from incentives aimed at attracting buyers. The industry's lack of innovation has contributed to a 30% decline in labor productivity since 1970, even as productivity more than doubled across the broader economy. Berkshire also appears to be betting that housing demand will recover, allowing more efficient builders to gain market share in an undersupplied housing market.

• The total value of US construction put in place rose 0.4% in April 2026 compared to the prior month, according to the US Census Bureau. Residential spending grew 0.8%, and nonresidential spending increased 0.1%. Overall, construction spending in April surpassed economists' expectations of just 0.2% growth. A 1.4% increase in single-family project spending led April's growth, even as the conflict with Iran stoked inflation and sent the 30-year fixed mortgage rate higher. Spending on private nonresidential buildings declined 0.2% in April. Private nonresidential structure spending has fallen for nine consecutive quarters, despite the data center boom. Bright spots in April nonresidential building construction included a 1.9% rise in public safety project spending and a 1% increase in offices (a category that includes data centers). Lodging, educational, and healthcare also saw slight upticks. Spending on highway and street projects rose 0.4% in April over March.
• The Dodge Momentum Index (DMI) increased 5.9% in May 2026 to 275.7 (2000=100), up from the revised April reading of 260.4. The Momentum Index is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which has been shown to lead construction spending for nonresidential buildings by a full year. On a monthly basis, the commercial planning component improved by 6.9%, and institutional rose 3.1%. Dodge’s associate director of forecasting, Sarah Martin, said, "Nonresidential planning continued to stabilize throughout May. Growth in the DMI continued to be led by data center activity, but key sectors – such as healthcare, retail stores and offices – gained momentum as well. Nonetheless, the broader outlook remains cautious, as persistent labor constraints, elevated material costs and ongoing supply chain pressures weigh on owner sentiment in the near term."