Johnston County Home Construction Slows In First Half Of 2026

SMITHFIELD, N.C. — Johnston County’s residential construction market slowed during the first half of 2026 after reaching a recent high last year, with builders pulling permits for nearly 12 percent fewer housing units than during the same period in 2025. The decline was driven largely by a sharp drop in townhome construction, while permits for traditional single-family homes remained relatively strong.

Building permit data from the Johnston County Inspections Department shows 1,009 permits were issued for new single-family homes between Jan. 1 and June 30, down from 1,097 during the same period in 2025 — an 8 percent decline. Even with the slowdown, single-family construction remains 5.5 percent higher than the first six months of 2024, when 956 homes were permitted.

The county also experienced a significant slowdown in townhome construction.

Builders obtained permits for 132 townhomes during the first half of 2026, compared to 225 during the same period in 2025, a 41.3 percent decrease. The 2026 total also fell below the 141 townhomes permitted in the first half of 2024.

Combined, permits for new single-family homes, townhomes, duplexes, modular homes and manufactured homes totaled 1,238 housing units during the first six months of 2026. That’s down from 1,405 units during the same period in 2025, an 11.9 percent decline, but remains 3.5 percent higher than the 1,196 units permitted in the first half of 2024.

Manufactured housing remained relatively steady.

Permits for double-wide homes held at 48 during both 2025 and 2026, compared with 51 in the first half of 2024.

Single-wide home permits increased from 26 during the first half of 2025 to 31 this year, an increase of 19.2 percent, although that total remains below the 34 permits issued during the first six months of 2024.

Modular home construction also declined slightly. The county issued permits for seven modular homes during the first half of 2026, compared with nine in both 2024 and 2025.

While residential construction has moderated from last year’s pace, single-family homes continue to dominate Johnston County’s housing market, accounting for more than 81 percent of all new housing units permitted during the first six months of 2026. Townhomes represented approximately 11 percent of new residential construction, while manufactured homes, duplexes and modular homes made up the remainder.

Housing Starts Comparison (Jan. 1 – June 30)

Johnston County still remains one of North Carolina’s fastest-growing counties, however, the latest permit figures suggest builders are becoming more cautious. The moderation reflects broader national trends as high mortgage rates, rising building costs and affordability concerns continue to weigh on residential development, even in traditionally strong housing markets.