New construction starts in September advanced 10 percent to a seasonally adjusted annual rate of $604.1 billion, according to McGraw Hill Construction, a division of McGraw Hill Financial. The increase followed an up-and-down pattern during the previous two months, and brought activity to its highest level so far during 2014.

Residential building in September dropped 9 percent to $212.7 billion (annual rate). Multifamily housing fell 23 percent, retreating from the strong activity that was reported in August.

“This year’s stall for single-family housing means that the lift provided to total construction is much less than what occurred during the prior two years, when single-family housing advanced 29 percent in 2012 and 26 percent in 2013,” says Robert A. Murray, chief economist for McGraw Hill Construction. “The 20-percent down-payment requirement, generally in effect since the end of the financial crisis, has made it difficult for lower- and middle-income households to get approved for a mortgage, and more attention is now being directed by federal officials at ways to expand access to home loans.”