Single-family permitting softened over the course of 2025 and finished the year weaker than the prior year. After showing some resilience in 2024, permitting activity gradually lost momentum as elevated mortgage rates and ongoing affordability constraints weighed on buyer demand. By year’s end, the pace of single-family permit issuance was below the level recorded in 2024, signaling a pullback in new construction. Multifamily permitting followed a more uneven path during 2025, reflecting the sector’s typical volatility, but ended the year on a stronger footing.

Over the year, the number of single-family permits issued nationwide reached 909,280. On a year-over-year basis, this represents a 7.4 percent decline compared with the December 2024 year-to-date total of 981,834. Multifamily permitting activity was stronger, with 516,886 permits issued nationwide, marking a 5.6 percent increase from the same period last year.

Regionally, year-to-date single-family permitting increased in only one of the four regions through December. The Midwest posted a slight gain of 0.3 percent, while activity declined in the Northeast (down 1.9 percent), the South (down 8.5 percent), and the West (down 10.4 percent). Multifamily permits increased in three of the four regions, led by gains in the West (up 17.6 percent), followed by the Midwest (up 9.8 percent), and then the South (up 4.9 percent). The Northeast saw a sharp decline of 12.4 percent, driven largely by a 21.0 percent drop in the New York–Newark–Jersey City metropolitan area.

At the state level, 16 states recorded year-over-year increases in single-family permits between December 2025 year-to-date and December 2024 year-to-date, with gains ranging from 24.0 percent in the District of Columbia to 0.1 percent in New York. The remaining 34 states reported declines, led by Nevada, which posted the steepest drop at 21.3 percent.

The ten states issuing the highest number of single-family permits accounted for 61.8 percent of all single-family permits issued nationwide. Texas continued to lead the country, with 140,002 permits issued over 2025, although this represented an 11.7 percent decline compared with 2024. Florida, the second-highest state, saw permits fall by 10.3 percent, while North Carolina, ranked third, experienced a decline of 6.9 percent.

Between December 2025 year-to-date and December 2024 year-to-date, 31 states recorded increases in multifamily building permits, while 19 states and the District of Columbia experienced declines. Mississippi posted the largest percentage increase, with multifamily permits surging 195.8 percent, rising from 357 to 1,056 units. In contrast, Maryland recorded the steepest decline, with permits falling 32.7 percent, from 5,797 to 3,902 units.

The ten states issuing the highest number of multifamily permits accounted for 60.5 percent of all multifamily permits issued nationwide. Over the course of 2025, Texas, which issued the most multifamily permits, recorded a modest increase of 1.7 percent. Florida, the second-highest state, posted a stronger gain of 29.6 percent, while California, ranking third, saw multifamily permits rise by 21.6 percent.

At the local level, the following are the ten metropolitan areas with the highest number of single-family permits issued.

Below are the ten metropolitan areas with the highest levels of multifamily permitting activity.