New HBI Report Shines Spotlight on Labor Shortages
The lack of skilled construction labor is a key limiting factor to expanding home construction and improving housing inventory and affordability. The latest Construction Labor Market Report from the Home Builders Institute (HBI), provides an outlook for residential construction employment and includes state-level employment data.
Key findings in the report include:
- The construction industry currently needs approximately 723,000 new construction workers each year to meet demand (residential construction represents 3.2 million of the construction payroll employment of 7.9 million).
- The number of open construction sector jobs currently averages between 300,000 to 400,000 every month.
- At least 90 percent of single-family builders responding to a survey reported a shortage of carpenters, and 80 to 85 percent reported a shortage of subcontractors in six other trades
- More than 80 percent of remodelers reported a shortage of subcontractors in 11 of the 16 trades.
- The share of construction workers aged 25 to 54 dropped by six percent over the past seven years.
According to Ed Brady, HBI president and CEO, the facts show the construction industry today must focus on three urgent priorities:
- Promote training and jobs in the trades to those people who have not yet considered a career in construction;
- Support immigration reform designed to produce the next generation of new Americans seeking opportunity in the United States; and
- Advocate for housing affordability by demonstrating the direct link between the nation’s housing shortage and its construction labor shortage.
To learn more about the current state of the nation’s construction labor market view the full report.
Latest from NAHBNow
Membership
Oct 14, 2026
Central Tennessee HBA's Award-Winning Membership Growth Plan
The Home Builders Association of Central Tennessee focused on expanding its footprint in previously underserved areas by appointing new charter presidents to promote membership, build relationships with local officials and provide networking opportunities in outlying counties.
55+ Housing | Trends
Oct 13, 2026
Key Housing Trends Among the 55+ Population
Adults ages 55 and older make up a large and growing share of the U.S. population and play an important role in the U.S. housing market. Only 16% of NAHB Builder members, however, reported building age-restricted housing for people age 55 or older, according to 2025 Member Census. For builders and remodelers targeting this demographic, it is important to understand the trends within this part of the housing industry.
Latest Economic News
Economics
Oct 13, 2026
Existing Home Sales Increased in September
Existing home sales rose after three months of declines as improved inventory gave buyers more negotiating power. As buyers wait for rate relief, homes are sitting on the market longer and for-sale inventory reached the highest level in over a decade.
Economics
Oct 13, 2026
Median Age in Construction Holds at 42
The median age of construction workers is 42, one year older than a typical worker in the national labor force, according to NAHB analysis of the latest 2024 American Community Survey (ACS) data.
Economics
Oct 09, 2026
Private Water and Sewer Systems in 2025 New Single-Family Homes
The share of new single-family homes built with individual wells and septic systems increased in 2025 compared to the previous year. According to NAHB’s analysis of the Census Bureau’s Survey of Construction (SOC), approximately 10% of single-family homes started in 2025 were served by individual (private) wells, and 17% relied on individual septic systems.