Updated
Updated · Eye on Housing · Jul 7
NAHB Finds 48,800 Lost Jobs Hit Residential Construction Hardest in Rural and Smaller U.S. Markets
Updated
Updated · Eye on Housing · Jul 7

NAHB Finds 48,800 Lost Jobs Hit Residential Construction Hardest in Rural and Smaller U.S. Markets

1 articles · Updated · Eye on Housing · Jul 7

Summary

  • Residential construction employment lost a net 48,800 jobs over the past 12 months, marking a 15th straight annual decline as high rates, affordability strains and slower building activity weighed on hiring.
  • County-level BLS data for December 2025 still showed home building carries an outsized local jobs role in rural and smaller markets, where residential construction makes up a larger employment share than it does nationally.
  • Western counties were most concentrated: 74.6% posted location quotients above 1.0, with Wyoming at 2.94 and Utah at 2.88, while Louisiana led the below-national group with 97.1% of counties under 1.0.
  • By NAHB's geography index, non-metro and micro counties had the highest average concentration at 1.48, while large metro outlying counties had the biggest share above the national level at 57.8%; large metro cores were lowest at 0.81.
  • The pattern underscores that diversified big-city labor markets are less dependent on home building, while rural communities and outer suburbs remain more exposed to housing-cycle slowdowns.

Insights

With homebuyers fleeing climate risk and high costs, are Midwestern cities the new frontier for construction growth?
As the 'mortgage lock-in' traps homeowners, is new construction the only escape valve for a paralyzed housing market?
With builders cutting prices and buyers locked out, who will ultimately win in this housing market standoff?