The rate of U.S. home construction spending nationwide fell year-over-year and month-to-month in December, according to a report released today by the U.S. Census Bureau of the Department of Commerce.

Spending for December dropped to a seasonally adjusted annual rate of $268.7 billion, a 2.7 percent drop from $276.2 billion the month before, and a 10.3 percent drop from $299.4 billion in December 2008. This rate is a projection of a monthly spending total over a 12-month period, adjusted to reflect typical seasonal fluctuations in construction activity.

Residential construction spending made up 30 percent of the nation’s total construction spending for the month.

At $8.3 billion, public residential construction spending rose 1.1 percent month-to-month, and 16.5 percent year-over year. Dips in private residential construction spending outweighed those gains, however, with a 2.8 percent drop month-to-month and a 10.9 percent drop from the same period the year before.

Private spending equaled $260.4 billion in December, or 97 percent of all home construction spending.

The bureau valued nonresidential construction spending at $633.8 billion in December, a 9.8 percent year-over-year drop. But, with an estimated 0.5 percent drop, the rate remained virtually unchanged from the rate for November. Such spending includes construction of manufacturing, educational, health care, transportation and power facilities, among others.

The total construction spending estimate for December fell to a seasonally adjusted rate of $902.5 billion, 1.2 percent below the revised November figure of $913.2 billion and 9.9 percent below the estimate for December 2008 of just over $1 trillion.

Total construction spending in all of 2009 fell 12.4 percent, to $939.1 billion from $1,072.1 billion spent in 2008. Total private construction spending drove the decrease with an 18.8 percent decline, to $621.8 billion from $766.2 billion in 2008. At the same time, total public construction spending in 2009 increased 3.7 percent, to $317.3 billion from $306 billion in 2008.

The bureau notes the estimates in its report are subject to sampling variability and nonsampling error and may be revised in coming months.

***

What’s your opinion? Leave your comments below or send a letter to the editor.

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
Inman Connect is LIVE next week! Join us and thousands of your peers from wherever you are.Register Today×
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