US Residential Market Is Cooling. It’s Time to Pivot Toward Public and Infrastructure Work

The housing boom is slowing down. Mortgage rates are high, starts are down, and contractors across the US are feeling the pause. But it’s not all bad news. Public-sector infrastructure projects are still moving, backed by federal dollars and long-term planning. In this blog, Jamie Trevett explains why now is the right moment to pivot your workforce toward infrastructure, healthcare, and municipal projects, and how a smarter hiring strategy could be the difference between getting through this slowdown or getting stuck in it.

Private Residential Is Pumping the Brakes

Contractors in cities like Houston, Atlanta, and Phoenix are reporting pulled tenders, delayed site starts, and clients backing away from projects that seemed locked in three months ago. And it’s not just anecdotal.

According to ConstructConnect’s Spring Economic Forecast, US residential construction starts fell 9 percent in Q2, with single-family housing hit hardest. Elevated mortgage rates and tighter credit conditions are keeping buyers on the sidelines. Developers are scaling back. Spec homes are sitting on the market longer than they have since 2020.

We’re hearing it every day, “we’ve got the crew, but no one’s breaking ground.”



What this means is clear: if you’re still chasing single-family housing work, you could be chasing ghosts.

Where the Real Work Is Happening Now

Public-sector work is still funded, still moving, and in some states, expanding. From large-scale infrastructure upgrades in Illinois and California, to local school expansions and energy efficiency retrofits in cities like Boston and Denver, the pipeline is there. You just need to be positioned to take it.

The Federal Highway Administration reports that more than $300 billion is earmarked for road, bridge, transit, and broadband improvements through the Infrastructure Investment and Jobs Act (IIJA). That doesn’t just mean mega-projects. It means smaller, regional, shovel-ready work that needs boots on the ground now.

Healthcare and education are hot too. We’re seeing tenders for hospital wing refurbishments, modular classroom installations, and upgrades to municipal facilities. These aren’t flashy builds, but they’re stable, funded, and require specialised teams to deliver them right.

"If your whole business is built around timber frames and spec housing, now’s the time to diversify. Public-sector jobs won’t wait for the market to bounce back."

This Isn’t the Same as Resi Work, Your Crew Needs to Be Ready

You can’t just send the same team from a private subdivision onto a school retrofit project. Public-sector and infrastructure jobs come with a different set of expectations. Safety requirements. Live site protocols. Background checks. Union oversight. Government audits.

To land these jobs and deliver them without friction, your team needs to include:

• Site managers with federal and state contract experience.
• Tradespeople with OSHA certification or equivalent.
• Labourers who understand live-environment etiquette.
• PMs who can submit reports, manage public compliance, and handle change orders without drama.



We’re already sourcing roles like these weekly. And the best firms aren’t asking us for “general labour.” They’re asking for plug-and-play professionals who can start today and already speak the language of government contracts.

Why Smart Firms Are Pivoting Now, Not Later

When the private housing market slows, too many contractors sit back and wait. They furlough teams, reduce subs, and tighten budgets until work picks up again.

But here’s what our top-tier clients are doing:

• They’re not waiting.
• They’re building benches specifically for public-sector bids.
• They’re using Just Recruit+ to keep costs fixed while bringing in verified, experienced trades.
• They’re training crews now so they’re ready when the next infrastructure tender lands.

If you think the next 3 months are quiet time, you’re not seeing the bigger picture. This is the perfect window to build up your infrastructure-ready workforce while the market transitions.



"If your hiring strategy only kicks in when a job is awarded, you’re always behind. The firms who win public contracts already have the team lined up, and that’s half the battle."

Final Take: The Market Is Shifting. So Should Your Hiring Plan.

We’re not saying walk away from residential completely. But if it’s your only play, you’re going to feel every delay and every missed sale.

The smart move?
Keep your existing team intact, but layer in the capability to take on the infrastructure, healthcare, education, and civic jobs that are already out there.

The money is moving.
Public projects are building.
And the question is simple; will your crew be ready?

Want to pivot your hiring strategy toward public-sector projects without the guesswork?

Let’s help you lock in infrastructure-ready trades, site leads, and PMs before the next bid drops.

Book a free consultation