The US housing market showed mixed signals in mid-2025, with the NAHB Housing Market Index for July rising slightly to 33 from 32 in June, meeting expectations. June housing starts increased by 4.6% month-over-month to a seasonally adjusted annual rate of 1.32 million units, surpassing forecasts of 1.3 million and revised May figures. Building permits also edged up 0.2% to 1.397 million, beating estimates and prior numbers. However, this overall growth was driven predominantly by a surge in multifamily housing starts, which rose approximately 30.6% to 414,000 units, while single-family housing starts declined 4.6% to 883,000 units, marking an 11-month low. Single-family building permits fell 5% in June and have declined at a 33.6% annualized rate over the first half of 2025, reflecting ongoing challenges such as high inventories and affordability constraints. The data indicates that while multifamily construction is bolstering the market, the single-family segment continues to struggle, signaling a cautious outlook for homebuilders and the broader housing sector.