The 10 Cities Building (and Selling) the Most New Homes in 2026

National trends: Why new construction is thriving

Let’s flash back over a decade to 2010. It was a year when about 605,000 residential building permits were issued in the U.S. — meaning just over half a million new homes had even the potential to break ground.

By 2025, that figure had more than doubled, to over 1.4 million permits. This increase doesn’t come as a surprise, given that the preference for newly built homes among buyers has increased in recent years, according to a 2023 survey from the National Association of Home Builders.

“Population is the biggest driver for housing,” said Danushka Nanayakkara-Skillington, assistant vice president for forecasting and analysis at NAHB.

So, where can you find all these newly built homes? And how much will they cost you compared with a preexisting home? We dug into the data so you don’t have to.

The 10 cities leading in new-home construction

Tens of thousands of new housing permits issued. More than 15,000 newly constructed homes sold. Those numbers are at the heart of the 10 cities leading in new-home construction.

Eight of the 10 are in the Sun Belt area of the U.S., and seven of the 10 are in the South. If you’re looking to relocate and live in a newly built house, you’ll want to check out this list of the top 10 cities leading the country in new-home construction.

1. Dallas, Texas
2. Houston, Texas
3. New York, New York
4. Phoenix, Arizona
5. Atlanta, Georgia
6. Los Angeles, California
7. Austin, Texas
8. Washington, D.C.
9. Charlotte, North Carolina
10. San Antonio, Texas

1. Dallas, Texas

Is everything bigger in Texas? We can’t speak for everything — but the new-home market seems to be. Four of the top 10 cities leading in new-home construction are located in Texas, with Dallas taking the lead spot, moving up from No. 2 in 2025, mainly because of a surge in new-construction sales.

Last year’s change to residential housing codes may be to thank for the boom. In April 2025, the Dallas City Council approved an amendment aimed at fighting the city’s housing shortage. Previously, buildings with more than two residential housing units had to comply with the International Building Code, adding obstacles and costs for developers. The revised code allows buildings with up to eight units to be constructed with looser regulations.

• New building permits issued: 11,327 (second highest)
• New-construction homes sold: 3,009 (second highest)

2. Houston, Texas

Watch your back, Houston! Though this Texas city still ranks second overall, H-Town slipped from the top spot between 2025 and 2026. Houston issued 9,239 new building permits in January and February of 2026, about a 16% decrease from last year.

But don’t let the dip get you down. Despite not ranking as highly as the year before, Houston is still No. 1 for the number of new-construction homes sold in the first two months of 2026. If you’re looking to move to Texas, Houston is still a solid place to break ground.

• New building permits issued: 9,239 (third highest)
• Number of new-construction homes sold: 3,535 (highest)

3. New York, New York

The Big Apple. The City That Never Sleeps. The … Destination for Newly Built Domiciles? While that last one may not catch on as a nickname for NYC anytime soon, the city’s strong ranking for new-build homes is undeniable. Not only did New York rise two spots in the ranks from last year, but it also issued the highest number of new building permits of any city in early 2026. Talk about sky-high achievements! 

New York doesn’t fare quite as well for the number of new-construction homes actually sold, however, ranking 26th. This may have something to do with the city’s infamously high cost of living. The median sale price for a newly built home in February 2026 was over twice the national median ($987,792 versus $409,565). That’s bound to deter some prospective buyers looking to save money on a home.

• Number of new building permits issued: 11,576 (highest)
• Number of new-construction homes sold: 586 

4. Phoenix, Arizona

The Phoenix metro area is among the best housing markets for buyers — so perhaps it’s no surprise that it ranks strongly for new builds. Though it slipped one spot from last year, a huge point in the city’s favor is affordability: The typical difference in price between a new build and a preexisting home in February 2026 was only $10,990. Compare that with the difference nationwide (about $53,000), and you’ll find that Phoenicians in search of new construction are getting a major bang for their buck.

• Number of new building permits issued: 5,118 (sixth highest)
• Number of new-construction homes sold: 1,887 (third highest)

5. Atlanta, Georgia

There’s a trend in Atlanta’s metrics this year: It ranks fifth overall, fifth in permits issued and fifth in new-construction sales. There’s no need to plead the Fifth when it comes to the fact that Atlanta is one of the country’s biggest new-home markets.

The Atlanta Regional Commission, the regional planning and intergovernmental coordination agency for the Atlanta region, said in April 2026 that the 11-county area would need close to 370,000 new homes built by 2035; the largest supply of new homes is expected for households earning between $78,000 and $115,000 yearly.

• Number of new building permits issued: 5,125 (fifth highest)
• Number of new-construction homes sold: 1,606 (fifth highest)

6. Los Angeles, California

Los Angeles rose 10 spots in our rankings from 2025 to 2026 — one of the highest jumps on our list. That’s because the city issued 8,476 permits in January and February of 2026, a 135% increase from last year.

Where L.A. doesn’t do as well as other cities in our top 10 is in new-construction sales. Only 356 new-construction homes sold in the first two months of the year. Like New York City, L.A. struggles with affordability: The median price for a newly built home in February was a whopping $1.34 million, more than $900,000 over the national median.

• Number of new building permits issued: 8,476 (fourth highest)
• Number of new-construction homes sold: 356

7. Austin, Texas

Last September, Austin ranked as the strongest buyer’s market in the nation. It’s also one of the best cities for new homebuilding, with the city coming in seventh overall.

Austin is also the rare city where newly built properties on balance cost less to buy than preexisting homes — by about $72,000 when you compare the median sale prices. Buyers with their hearts set on new construction should head to Austin — as long as they’re prepared to keep the city weird, as the slogan goes, of course.

• Number of new building permits issued: 3,382 (10th highest)
• Number of new-construction homes sold: 1,352 (sixth highest)

8. Washington, D.C.

Washington, D.C., is another city that rose in the ranks from 2025 to 2026, climbing six spots to make the top 10. The nation’s capital issued nearly 5,000 new building permits in the first two months of 2026, a nearly 40% increase from last year.

Still, the difference in cost between new homes and existing homes in Washington is slightly more than it is nationally: The median sale price of a new build in February 2026 was $55,000 more than the median sale price of an existing property; that is the third-highest margin among the top 10 cities on our list.

• Number of new building permits issued: 4,833 (seventh highest)
• Number of new-construction homes sold: 840

9. Charlotte, North Carolina

Despite dropping from No. 6 in 2025 to No. 9 this year, the Queen City held on to its crown with another spot in the top 10 cities building and selling new homes. Charlotte issued 3,425 new building permits in January and February and saw 1,194 new-construction homes sold. And though new builds in Charlotte are pricier than those in Dallas or Houston, the February median sale price of $409,900 is right around the national median.

• Number of new building permits issued: 3,425 (eighth highest)
• Number of new-construction homes sold: 1,194 (eighth highest)

10. San Antonio, Texas

The last city on the list takes us back to Texas, rounding out our rankings with another visit to the Lone Star State. Prospective homebuyers looking to move to Texas shouldn’t ignore San Antonio.

The number of new homes sold in early 2026 was the fourth highest on our list. Buyers also don’t have to pay a premium for newly built homes. The city’s February median sale price for new builds was just $950 higher than the median price for preexisting homes.

• Number of new building permits issued: 1,815
• Number of new-construction homes sold: 1,685 (fourth highest)

Which cities are falling behind in new-home construction?

But what about the cities that aren’t building at the same pace? The bottom 10 cities for new housing activity in 2026 are largely concentrated in the Midwest and Northeast. None approved more than 100 new housing permits in January and February, and the new houses actually being sold didn’t top 30 anywhere. These 10 cities at the bottom are the worst for new homebuilding.

1. Youngstown, Ohio
2. Springfield, Massachusetts
3. Canton, Ohio
4. New Haven, Connecticut
5. Vallejo, California
6. Scranton, Pennsylvania
7. Akron, Ohio
8. Lansing, Michigan
9. Toledo, Ohio
10. Davenport, Iowa

How much new housing is being built in America's biggest cities?

We’ve tracked new housing from Dallas, where over 3,000 new builds flew off the market in the first two months of 2026, to Youngstown, Ohio, where only five sold. But the United States is more than just these highlights. Where does your home city — or your potential new city — rank?

Find the full data in our table below.

Tips for buying a new-construction home

Curious about buying a new-build house, but feeling unsure of the ins and outs of the process? We spoke with Scott Norman, CEO of the Texas Association of Builders, for expert advice on how to buy a new-construction home.

• Research the building company. “Generally, when buying a home or any real estate, do your research — it’s not a decision to be made lightly,” Norman said. To get started, find reputable homebuilders in your area and dig deeper into a handful of options by reading customer ratings and reviews.
• Get examples of builders’ work. Especially if you’re interested in buying a custom home, it’s important to inspect a builder’s finished product up close. “A builder should be more than willing to go show you other examples of their work,” Norman said. If the builder is hesitant or cagey about showing off its past projects, that should raise a red flag, he added.
• Study the details of the builder’s warranty. Make sure you understand not just the policy details of the homebuilders warranty, but also how the builder handles warranty claims when problems arise, Norman said. “The larger the company, it may be a more formalized process. Volume builders have whole divisions that just handle warranty claims,” he explained, while smaller builders may have just one designated claims manager who takes a more intimate, individualized approach.
• Ask about incentives. Many homebuilders, especially larger-production builders, are currently offering incentives to entice homebuyers amid higher rates, Norman explained. A lot of builders will be advertising these offers aggressively, but make sure to ask about all the available options. Builders may offer interest rate buydowns, down payment assistance or other perks in an effort to sweeten the deal.
• Consider a separate home warranty. “A home is one of the last things in our life that is built outside, in the elements, by hundreds of people on a job site,” said Norman. The complex nature of homebuilding means that, sometimes, things turn out imperfectly. That’s where a home warranty can come in.

Methodology

The ConsumerAffairs Research Team analyzed data on new building permits and new-construction home sales across 150 of the largest U.S. metropolitan areas in January and February of 2026. Cities were scored using two equally weighted metrics: total new residential building permits and total new-construction home sales during the two-month period. Each category was worth up to 50 points, for a total possible score of 100. The metro with the highest value in each category received the maximum score, while all other metros were scored relative to the top performer.

Building permit data was sourced from the U.S. Census Bureau’s Building Permits Survey, while new-construction sales data came from Zillow.

ConsumerAffairs also collected supplemental data for additional context, including median new-construction sale prices and existing home sale prices. These supplemental metrics were not factored into the final rankings.

Throughout this analysis, “city” and “metro” may be used interchangeably; however, all underlying permit, sales and pricing data reflect metro-area-level measurements.

Reference policy

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Questions?

For questions about the data or if you'd like to set up an interview, please contact jrodriguez@consumeraffairs.com.