The rate of private residential construction spending fell for the seventh straight month in October and was 9.4 percent below the October 2005 rate, the U.S. Census Bureau of the Department of Commerce announced today.

The seasonally adjusted annual rate of total construction spending was about $1.18 trillion in October, which is 1 percent below the revised September estimate and 2.4 percent above the October 2005 estimate.

During the first 10 months of this year, total construction spending was about $1.01 trillion, which 5.9 percent higher than spending in the first 10 months of 2005.

The seasonally adjusted annual rate is a projection of a monthly total over a 12-month period, adjusted for seasonal fluctuations in construction activity.

Spending on private construction was at a seasonally adjusted annual rate of about $905.3 billion, down 2 percent compared to the October 2005 rate. Residential construction spending was at a seasonally adjusted annual rate of about $597.1 billion in October, down 1.9 percent from the revised September estimate. Nonresidential construction was at a seasonally adjusted annual rate of about $308.2 billion in October, or 16.4 percent above the October 2005 rate.

The rate of public construction spending in October was about $273.1 billion, or 0.8 percent above the revised September estimate and 9.9 percent above the October 2005 rate. Educational construction was at a seasonally adjusted annual rate of about $70.7 billion, up 6.4 percent from the October 2005 rate, and highway construction reached a rate of $76.2 billion, up about 15.7 percent compared to October 2005.

The agencies noted that month-to-month changes in seasonally adjusted statistics can show irregular movements, and it can take two months to establish an underlying trend for total construction and as long as eight months for specific categories of construction.

Statistics are estimated from several sources and surveys and are subject to sampling variability as well as nonsampling error including bias and variance from response, nonreporting, and undercoverage, according to the report, and statistics for the most recent month are preliminary estimates subject to revision.

Show Comments Hide Comments

Comments

Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
By submitting your email address, you agree to receive marketing emails from Inman.
Success!
Thank you for subscribing to Morning Headlines.
Back to top
Hear from Realogy, Pacaso, SERHANT., Spotify, Redfin, Douglas Elliman, and 100+ more leaders at ICNY.Register now×
Limited time: Get 30 days of Inman Select for $5.SUBSCRIBE×
Log in
If you created your account with Google or Facebook
Don't have an account?
Forgot your password?
No Problem

Simply enter the email address you used to create your account and click "Reset Password". You will receive additional instructions via email.

Forgot your username? If so please contact customer support at (510) 658-9252

Password Reset Confirmation

Password Reset Instructions have been sent to

Subscribe to The Weekender
Get the week's leading headlines delivered straight to your inbox.
Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
It looks like you’re already a Select Member!
To subscribe to exclusive newsletters, visit your email preferences in the account settings.
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription