Construction spending experiences drop in November

The level of construction spending experienced a lull in November, as most figures were down slightly compared to the previous month.

The overall construction spending level was $866 billion, which was 0.3 percent lower than one month earlier, according to a report from the Department of Commerce. However, the figure was still more than 7 percent improved from the same month last year. The decline may have some concerned, but there are still elevated levels of expectation from some industry members.

The government data also showed a pace of nearly $24 billion was spent on multifamily building during the month – roughly $120 million higher than the rate from October.

"We are seeing a slightly positive outlook for commercial activities," said Dave Myers, president for building efficiency for Johnson Controls, according to Bloomberg. "It's been the first time in a long time we'll see slight increases in the year and we are seeing, for the first time in a long time, some positive signs about growth in the residential market and well."

With numerous new multifamily units underway nationwide, it's little wonder why demand for rental properties is still high. This may prompt an increase in rental applications in the coming months.