Construction Market Trends for February 2025

The construction market had a small increase in February over January, and New Construction remained static year-over-year, however Alterations saw an increase.

New Construction Month over Month change: +3.59%; Year-over-Year Change: -0.06%

Alterations Month over Month change: +2.40%; Year-over-Year Change: +2.4%

Regionally, Northeast was the only region to see a decrease, the Pacific and Southwest remained mostly static, while the Midwest and Southeast saw increases in February over January

Month-over-Month changes:

Pacific New Construction: 0%; Alterations: +0.31%

Southwest New Construction: +2.99%; Alterations: -1.16%

Midwest New Construction: +5.13%; Alterations: +10.7%

Southeast New Construction: +5.26%; Alterations: +21.1%

Northeast New Construction: -4.8%; Alterations: -4.1%

For Mechanical, Electrical, & Plumbing (MEP), Mechanical and Electrical were up year-over-year, and Plumbing saw a nominal decrease.

Mechanical (HVAC) Year-over-Year Change: +7.4%

Electrical Year-over-Year Change: +3.2%Plumbing Year-over-Year Change: -0.55%

ADU activity remains positive year-over-year, however it continues its downtrend month-over-month. Solar installations also continue their decline both year-over-year and month-over-month. Although both are down, the downtrend was less-so compared to prior months.

ADU year-over-year change: +15.7%; Month-over-month change: -2.1%Solar year-over-year change: -4.4%; Month-over-month change: -1.99%