Residential Building Pros See Slower Wage Growth As Homebuyer Demand Wavers

Wage growth for residential construction workers continued to lose momentum in Q-2 2025, according to U.S. Bureau of Labor Statistics data analyzed by the National Association of Home Builders. Average hourly pay in the residential construction sector reached $39.35 in June 2025, which is up by 3.5% from the hourly wage of $38.02 in June 2024. While wages are still rising, the pace has cooled significantly compared with the 9.3% annual growth recorded a year earlier, likely due to slower residential building activity and reduced demand for labor.

Despite the slowdown in wage growth, residential building workers’ wages remain competitive:

• 11.4% higher than the manufacturing sector ($35.32/hour)
• 25.3% higher than the transportation and warehousing sector ($31.4/hour)
• 2.3% lower than the mining and logging sector ($40.29/hour)