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Challenging affordability conditions, elevated interest rates and economic uncertainty continue to act as headwinds on the housing sector as many potential buyers continue to stay on the sidelines.

Sales of newly built single-family homes edged 0.6% higher in June, rising to a seasonally adjusted annual rate of 627,000, according to newly released data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. This marks a 0.6% increase from May’s unrevised figures. However, this is 6.6% below the June 2024 level. June new home sales are down 4.3% on a year-to-date basis. The past two months have been the slowest sales pace since October of last year, as mortgage rates averaged above 6.8% in June.

A new home sale occurs when a sales contract is signed, or a deposit is accepted. The home can be at any stage of construction: not yet started, under construction or completed. In addition to adjusting for seasonal effects, the June reading of 627,000 units is the number of homes that would sell if this pace continued for the next 12 months.

New single-family home inventory continued to rise with 511,000 residences marketed for sale as of June. This is 1.2% higher than the previous month, and 8.5% higher than a year ago. At the current sales pace, the months’ supply for new homes remained elevated at 9.8 compared to 8.4 a year ago. A measure near a six months’ supply is considered balanced.

As expected, the combined new and existing total months’ supply has risen over the last few months to a balanced 5.4 months due to continued buyer hesitation in both new and existing home sales markets. Elevated mortgage rates and sustained price levels continue to limit purchasing power, particularly among first-time and middle-income buyers.

A year ago, there were 94,000 completed, ready-to-occupy homes available for sale (not seasonally adjusted). By the end of June 2025, that number increased 21.3% to 114,000. However, completed, ready-to-occupy inventory remains just 22% of total inventory, while homes under construction account for 54%. The remaining 24% of new homes sold in June were homes that had not started construction when the sales contract was signed.

The median new home sale price edged down 4.9% in June to $401,800. This is down 2.9% compared to a year ago. In terms of affordability, the share of entry-level homes priced below $300,000 has been steadily falling in recent years. Only 14% of the homes were priced in this entry-level affordable range, while 28% of the homes were priced above $500,000. Most of the homes were priced between $300,000-$500,000.

Regionally, on a year-to-date basis, new home sales are down in all four regions, falling 1.6% in the South, 4.0% in the West, 8.5% in the Midwest, and 25.6% in the Northeast.

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Existing home sales fell to 9-month low in June as home prices hit another monthly record high, according to the National Association of Realtors (NAR). Sluggish pace of sales suggest that higher mortgage rates and elevated home prices are continuing to sideline buyers, despite improved inventory conditions.

Mortgage rates have hovered between 6.5% and 7% due to ongoing economic and tariff uncertainty this year, prompting the Fed to pause interest rate cuts. With mortgage rates expected to stay above 6% for longer due to an anticipated slower easing pace in 2025, these prolonged higher rates and high home prices would continue to weigh on the market. As such, sales are likely to remain limited in the coming months.

Total existing home sales, including single-family homes, townhomes, condominiums, and co-ops, fell 2.7% to a seasonally adjusted annual rate of 3.93 million in June, the lowest level since October 2024. On a year-over-year basis, sales were unchanged from a year ago.

The existing home inventory level was 1.53 million units in June, down 0.6% from May, but up 15.9% from a year ago. At the current sales rate, June unsold inventory sits at a 4.7-months’ supply, up from 4.6-months in May and 4.0-months in June 2024. Inventory between 4.5 to 6 month’s supply is generally considered a balanced market.

Homes stayed on the market for a median of 27 days in June, unchanged from May but up from 22 days in June 2024.

The first-time buyer share was 30% in June, unchanged from May but up 29% from a year ago.

The June all-cash sales share was 29% of transactions, up from 27% in May and 28% a year ago. All-cash buyers are less affected by changes in interest rates.

The June median sales price of all existing homes was $453,300, up 2.0% from last year. This marked an all-time high for the month of June and the 24th consecutive month of year-over-year increases. The median condominium/co-op price in June was up 0.8% from a year ago at $374,500.  Recent gains for home inventory will put downward pressure on resale home prices in most markets in 2025.

Geographically, three of the four regions experienced a decline in existing home sales in June, with a decrease of 2.2% in the South, 4.0% in the Midwest, and 8.0% in the Northeast. Meanwhile, sales in the West rose 1.4%. On a year-over-year basis, sales were up in the Midwest (2.2%) and the South (1.7%) but were down in the West (-4.1%) and the Northeast (-4.2%).

The Pending Home Sales Index (PHSI) is a forward-looking indicator based on signed contracts. The PHSI rose from 71.3 to 72.6 in May, suggesting a solid labor market is supporting the market despite the elevated mortgage rates. On a year-over-year basis, pending sales were 1.1% higher than a year ago, per National Association of Realtors data.

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The quarterly U.S. Houzz Renovation Barometer asks more than 1,000 construction and architecture and design firms on Houzz about their expected, current and recent business activity. The Q3 2025 Barometer, fielded June 14-July 1, 2025, also asked pros how they expect local and national economic factors — including tariffs, inflation and labor shortages — to impact their businesses and the industry at large.

The just-released report reveals that the vast majority of firms across the industry expect these factors to negatively impact business in Q3. This is consistent with reduced optimism industrywide as business activity slows, though more pros still expect business performance to improve overall this quarter than anticipate a decline.

Here are more insights into construction and design businesses’ outlooks in the face of ongoing economic uncertainty.



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Business sentiment across the home construction and design industry has declined, marking the second consecutive quarter of reduced optimism as business activity wanes, according to the Q3 2025 U.S. Houzz Renovation Barometer. The outlook among firms is significantly lower than it was at the start of the year, although many professionals still expect an improved third-quarter performance.

The recently released Barometer report provides timely insights into the residential renovation industry, including expectations, project backlogs and recent activity among businesses in the construction sector and the architectural and design services sector.

“Expectations have become increasingly cautious among construction and design professionals as they navigate ongoing economic challenges and reduced business activity,” Houzz staff economist Marine Sargsyan says. “That said, stable backlogs and gradual adjustments in response to market conditions indicate some resilience. Most are hopeful for improved momentum through the second half of the year.”



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When this Wisconsin couple settled into their 1960s Colonial-style home tucked into a quiet wooded neighborhood, they knew the existing 70-square-foot second-floor primary bathroom wasn’t going to meet their long-term needs. To achieve the spa-like en suite they envisioned, they turned to Cor Improvements and design director Jim Pitzen, who reimagined the layout by converting a bedroom into a spacious 170-square-foot bath.

The transformation includes two vanities, a freestanding claw-foot tub, a walk-in shower and a water closet — all in a welcoming blue-and-white palette with classic details that honor the home’s roots. The update also added a walk-in closet and an adjacent laundry room, creating a highly functional layout tailored for comfort and ease.



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This is the project that grew and grew. What started out as a simple refurbishment of a rural cottage in West Sussex, England, became a comprehensive renovation, an addition and a landscaping job. “It was an absolute joy,” says Paul Duffy, the architect responsible for the transformation. “It evolved to become this genuinely amazing project.”

The property sits within the South Downs National Park, on a beautiful plot with long, unspoiled views. “I really enjoy it every time I go,” Duffy says. All the construction and design ideas he suggested had to respect this landscape and were subject to stringent planning constraints. Read on to see how the project evolved while staying in harmony with its special surroundings.



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This Trending Now story features the most-saved home office photos uploaded to Houzz between March 15 and June 15, 2025.

No matter how you like to work from home, this countdown of the most-saved new home offices on Houzz offers inspiration. Whether tucked into a compact alcove or spread throughout a spacious room, these setups reflect a range of design approaches — each tailored to support productivity, creativity and comfort.

10. Olive and Organized

In this Paris home office, Poësis Studio created a serene atmosphere by painting the walls, trim, built-in shelves and ceiling a deep olive green. The color provides a calm backdrop, allowing the crisp white desk and pleated cotton pendant light to stand out.

Paint color: Bancha, Farrow & Ball

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Rosen+Co Design StudioSave Photo
9. Arched Alcove

An elegant arch frames this sophisticated office nook in Toronto. Rosen+Co Design Studio integrated the desk area into sleek built-ins that discreetly hide office equipment and documents. This smart space planning allowed for a comfortable sofa alcove on the opposite side of the room and a prime location for the TV.

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8. Light-Filled Corner

In this Sonoma County, California, home office, Studio CM maximized natural light by wrapping two desks around a corner flanked by tall windows overlooking the front garden. To ensure the space stays bright even on overcast days, the designers incorporated desk lamps and discreet track lighting that align with the home’s classic midcentury modern style.

How to Set Up Your Home Office on Nearly Any Budget

CHRISTOPHER STROM ARCHITECTSSave Photo
7. Streamlined and Airy

A 14-foot addition and full remodel of this St. Louis Park, Minnesota, home was designed with aging in place in mind. In the new office, Christopher Strom Architects extended the desk along two walls, seamlessly integrating it with built-in shelves and cabinets. The cohesive design draws the eye to the outdoor view and helps the long, narrow room feel more spacious and intentional.

6. Timeless Library Charm

Dovetail Group curated furnishings that thoughtfully complement the refined character of this Zionsville, Indiana, home office. Rich built-ins, a tufted leather chair, an antique desk, a vintage map and classic light fixtures come together to evoke the timeless elegance of a stately library.

Key Measurements to Help You Design the Perfect Home Office

5. Tidy and Moody

Trim Team NJ masterfully blended traditional and modern styles, along with light and dark elements, in this northern New Jersey office. Integrated lighting and brass accents provide striking contrast against the dark, moody built-ins. The lower cabinets feature classic Shaker-style profiles, while the shelves above maintain a clean-lined, unfussy aesthetic.

Southern Hills ConstructionSave Photo
4. Strumming Over Spreadsheets

Sometimes a home office calls for guitar hooks and cozy seating for strumming, rather than laptops and ergonomic chairs. That was the case in this Nashville, Tennessee-area workspace. Southern Hills Construction enveloped the room in a rich, warm gray paint and installed white oak pocket doors within the arched doorway. No matter the use, soundproofing remains essential in this versatile office.

New to home remodeling? Learn the basics

Cruz Interiors Inc.Save Photo
2. Light Meets Dark

Designer Carly Zuba of CM Studio achieved a striking balance of light and dark in her own Evanston, Illinois, home office. Light wood floors contrast with black architectural elements in the space. A light-colored desk, chair, rug and chandelier form a bright focal point, while large windows flood the room with natural light.

New Leaf Custom HomesSave Photo



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Vandervort ArchitectsSave Photo
The house has the appearance of two small cabins. “We knew early on that these two forms would be connected by a spine down the middle,” Butrim says. The west wing, on the left, contains the family room, dining room and kitchen in one large open space. The east wing contains three bedrooms and 2½ bathrooms. The large window between the two wings marks the structure’s spine, a long corridor between them.

Creating the two asymmetrical forms broke up the scale of the house and gave it a San Juan Islands cabin feel. Butrim also looked to agricultural and maritime buildings, as well as Native American longhouses, for architectural inspiration. The materials, which include weathered cedar at random widths, tinted concrete and dark metal roofing, accomplish two goals. They nod to the history of cabins built on this island, and they help the building blend into the wooded site.

“Originally, the front entry led directly into the corridor,” Butrim says. “However, our clients thought that would feel too formal and they wanted this to be a more casual house. It also felt like an entrance you’d have if you’d driven from the road and down the driveway, which doesn’t happen here. Instead, we thought about them entering the house from the approach from the dock.” The front entry is located on the left side of the house. (The door is open in this photo.)



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Remote work may no longer dominate the U.S. labor force as it did during the height of the pandemic in 2020, but it still represents a substantial share of employment today. According to the latest data from the Current Population Survey (CPS), approximately 34.3 million employed people teleworked or worked at home for pay in April 2025. The telework rate, which represents the number of people who teleworked as a percentage of people who were working, was 21.6% in April, and it has consistently ranged between 17.9% and 23.8% between October 2022 and April 2025.

Of those who teleworked in April, more than half teleworked for all their working hours, while the remaining teleworked for some, but not all, of their work hours.

The distribution of telework across the U.S. workforce continues to reflect deeper patterns shaped by gender, age, education, occupation, and industry. The following insights are based on an analysis of monthly CPS data.

Gender: Women Lead in Telework

Women continue to outpace men in remote work participation.

Nearly 25% of employed women worked from home in April 2025.

In contrast, about 19% of employed men teleworked.

This gender gap reflects employment trends. Many women are employed in professional, administrative, or office-based roles. These fields transitioned smoothly to remote work during the pandemic and have largely maintained hybrid or fully remote options. Additionally, the growing rate of college completion among women1 has pushed more women into positions that are structurally suited to telework. Flexibility remains a priority, especially for women balancing work and caregiving responsibilities, further reinforcing the demand for work-from-home arrangements.

Age: Older Workers Are More Likely to Telework

Age also plays a major role in who works remotely. Workers aged 25 and older are more likely to telework than their younger counterparts.

Ages 16–24: Only 6.2% worked from home.

Ages 25–54: About 24% reported teleworking.

Ages 55+: Around 23% worked remotely.

Younger workers tend to fill entry-level roles in retail, hospitality, and service sectors that require in-person attendance. Meanwhile, older workers are more likely to have progressed in their careers into managerial or specialized roles where remote work is feasible or even expected.

Education: Higher Degrees, Higher Telework Rates

Education remains one of the strongest indicators of telework status. Higher educational attainment is positively associated with a higher telework rate.

No high school diploma: Just 3.1% worked remotely.

High school graduates, no college: 8.4% teleworked.

Some college or associate degree: 17.3% reported working from home.

Bachelor’s degree or higher: 38.3% worked remotely.

Higher educational attainment often leads to employment in knowledge-based sectors such as finance, information technology, consulting, and research. These roles often depend on digital communication tools and independent project-based tasks, making them well-suited for remote settings.

Occupation: Business and Financial Operations, and Professionals Dominate Remote Work

Not surprisingly, occupation heavily influences access to teleworking. Jobs that require physical presence, such as those in food service, transportation, manufacturing, and construction, naturally offer limited remote opportunities. In contrast, people employed in professional and technical fields report the highest telework rate, especially those working in computer and mathematical roles.

Industry trends mirror these occupational divisions. Certain sectors have fully embraced telework, particularly finance, information services, and professional and business services. These industries often prioritize flexibility and are structured in ways that make remote work not only possible but efficient. On the other hand, industries like construction, leisure and hospitality remain firmly grounded in physical spaces and in-person involvement. In these fields, work is inherently tied to locations and equipment that cannot be replicated remotely. The construction industry had a telework rate of just 9.8% in April, and leisure and hospitality reported an even lower rate of 8.1%.

Looking Ahead:

Remote work is not disappearing; it is evolving. The opportunity to work from home is increasingly concentrated among individuals with higher education levels, white-collar job titles, and positions in tech-driven or office-based industries. Meanwhile, those who are younger, have less educational attainments, or work in manual or service-based roles remain largely tied to traditional, in-person work.

For the future, we don’t know if telework will expand to become more inclusive or continue reinforcing existing divides in education and job roles. For now, the data suggests that remote work is here to stay, but only for some.

Note:

“U.S. women are outpacing men in college completion, including in every major racial and ethnic group”, Pew Research Center.

Connor Borkowski and Rifat Kaynas, “Telework trends,” Beyond the Numbers: Employment & Unemployment, vol. 14, no. 2 (U.S. Bureau of Labor Statistics, March 2025),

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This Trending Now story features the most-saved entry photos uploaded to Houzz between March 15 and June 15, 2025.

A home entryway works hard — corralling shoes, keys, bags and more — all while offering a warm welcome and setting the tone for the rest of the home. For ideas on creating a stylish and practical drop zone that leaves a lasting impression, check out this countdown of the 10 most-saved new entry photos on Houzz right now.

10. Beachy and Bright

Fig St. Design gave this Santa Cruz, California, entry a breezy coastal feel. A wood-paneled door with a translucent sidelight opens to a light-filled space anchored by a cushioned storage bench set against a bright white shiplap wall with convenient hooks. Above, a pale blue cabinet offers additional storage, while a coordinating wood display shelf ties in with the door. Durable hexagonal tile flooring stands ready to handle sandy feet, shoes and flip-flops fresh from the beach.

love schack architectureSave Photo
9. All-Weather Style

In designing this Alta, Wyoming, home, Lindsay Schack and Kluane Gorsuch of Love Schack Architecture followed Passive House principles, prioritizing energy efficiency and a deep connection to nature. That meant the front entry needed to support thermal comfort and indoor air quality while framing expansive landscape views and welcoming in natural light, all without compromising protection from wind, snow and intense sun. A separate mudroom down the hall keeps shoes and outerwear out of sight, allowing the entry to remain open and uncluttered. Large-format decorative floor tile and thoughtfully selected furnishings complete the warm, modern look.

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8. Refreshed Vintage Design

Marble floors, high-gloss blue walls and vintage-inspired floral wallpaper turned this once-blank San Francisco entry into a bold and welcoming jewel box. Designer Marcy Duque of IDF Studio aimed to make a dramatic statement in the small space, pairing eye-catching style with everyday function — providing just enough room to drop your keys and slip off your shoes — without sacrificing impact.

Key Entryway Dimensions for Homes Large and Small

Michele Bitter DesignsSave Photo
7. Bespoke Glamour

The homeowners of this newly renovated New York duplex wanted an entryway as distinctive as the bespoke details found throughout their home. Designer Michele Bitter responded with a sophisticated makeover that includes a sleek console for keys and mail, a compact pouf for slipping off shoes and a showstopping custom chandelier. Herringbone flooring, Armani Casa wallpaper and custom brass stair railings elevate the space. Bitter also transformed a former bar under the stairs into enclosed storage.

Audrey Scheck DesignSave Photo
6. Traditional Tailoring

In this spacious West Lake Hills entry, just outside Austin, Texas, designer Audrey Scheck embraced a modern farmhouse sensibility with warm, traditional touches. A wall of built-in cabinetry and a bench provide ample storage and seating, while a generous doorway and dedicated closet enhance the home’s functionality. The wood-and-glass front door, along with its transom and sidelights, frames serene outdoor views. Wood-beamed ceilings and crisp molding add architectural character, giving the entry a relaxed yet refined presence.

4 Designer Tips for a Fashionable Entry

Collective DesignSave Photo
5. Modern Mountain Style

High mountain style sets the tone in this Breckenridge, Colorado, entry, offering a striking preview of the modern mountain home beyond. The space, by Collective Design, celebrates nature with expansive sidelights, a transom and a vertical window that frame the outdoors while supporting the home’s passive solar strategy. A slatted wood ceiling with recessed lighting echoes the clean lines of the front door and highlights the fringed chandelier. Textural elements — including rugged stone walls, a sleek metal bench and a natural jute rug — add warmth and depth, mirroring the surrounding landscape.

Emily LaMarque Design StudioSave Photo
4. Rustic Meets Eclectic

A mix of modern and rustic elements defines the entry of this new-construction getaway at Suncadia Resort in Cle Elum, Washington. Designer Emily LaMarque, who uses Houzz Pro software, curated furnishings and decor with an earthy, grounded feel that nods to the landscape while maintaining the home’s sleek, contemporary aesthetic. A durable rug stands up to damp feet and muddy paws, and a pair of playful ottomans offer a stylish spot to sit while slipping shoes on or off.

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3. Let the Light In

With no formal foyer to work with, designer Kristen Ekeland and general contracting firm Risher Martin transformed a spacious covered exterior entry into an inviting interior space for this West Lake Hills home near Austin, Texas. A heavy wood door was replaced with a custom steel-and-glass design that ushers in natural light and lends an airy, open feel. Ekeland elevated the new entry with bold, curated elements, including a custom high-gloss lacquered console, custom-commissioned artwork and a striking statement light fixture.

Interior ImpressionsSave Photo
2. Coastal Charm

The owners of this Fort Myers, Florida, residence sought a front entry that felt breezy and welcoming, striking the right balance between casual comfort and tailored style. Designer Amy Leferink of Interior Impressions captured the essence of Florida living with a clean, coastal-inspired space that’s as inviting as it is practical. Sleek-lined wood console tables with baskets offer smart storage, while double doors with translucent glass maintain privacy and invite natural light through a glass transom. Textured wallpaper and a soft, light-hued rug enhance the serene, laid-back feel.

Leferink uses Houzz Pro software to manage her business, including for 3D Floor Plans, Mood Boards and “invoice tracking to communicate with clients more clearly during the design process,” she says.

See why you should hire a professional who uses Houzz Pro software

1. Inviting Lakeside Style

The most-saved new entry photo on Houzz comes from a serene lakeside home in Orono, Minnesota. During the remodel, builder Sven Gustafson of Revision set out to create an entry that told a story with natural materials, abundant sunlight and a strong sense of place. A handsome wood door, flanked by sidelights and topped with a transom, floods the space with light and sets a warm, welcoming tone. Thoughtfully chosen details — a hand-woven console, carved lamps, a porthole-style mirror and nautical artwork — subtly nod to life on the lake and complete the inviting narrative.

Gustafson and his company Revision use Houzz Pro software. “We used Houzz to help the client visualize the transformation of key areas, including the front entry,” Gustafson says. “The homeowner appreciated the real-time feedback tools and product tagging for sourcing.” His clients also found him on Houzz. “Our profile helped them discover our portfolio and connect with us initially,” Gustafson says.

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