236115 - New Single-Family Housing Construction (except For-Sale Builders)
If you're involved in the construction industry, especially in building single-family homes, understanding NAICS Code 236115 is essential. This code plays a critical role in government contracting, market analysis, and industry classification. Whether you're a custom home builder or an owner-builder, knowing what falls under this NAICS code can help you navigate regulations, qualify for contracts, and optimize your business strategy.
What is NAICS Code 236115?
NAICS Code 236115 is titled New Single-Family Housing Construction (except For-Sale Builders). This classification describes businesses primarily engaged in the construction of new single-family residential buildings not intended for sale. Unlike typical home builders who construct homes for resale, these establishments either build homes on their own account or construct homes on a contract basis for individual clients.
Key Characteristics:
- Focus on new single-family homes
- Excludes builders who focus on homes for sale (speculative builders)
- Includes custom and owner-built homes
Sector Overview: Construction Industry
NAICS 236115 falls under the broader Construction sector. This sector covers companies involved in constructing buildings, engineering projects, and specialty trades. Within this, the sub-sector for residential construction plays a vital role in housing development and infrastructure growth.
Typical Business Activities Under NAICS 236115
Businesses classified under this code are usually engaged in activities such as:
- Designing and building custom single-family homes tailored to a clientâs specifications
- Owner-builders managing the construction of their personal residences
- Residential construction contractors focused on non-speculative housing projects
- Contracting services for the construction of individual client homes
Size Standard for NAICS 236115
For government contracting and SBA-related eligibility, the size standard for NAICS Code 236115 is set at $45 million in average annual receipts. This means a company must have gross revenues under this threshold to qualify as a small business under this classification.
Why Size Standards Matter
- Determines eligibility for small business programs
- Affects bidding on government contracts
- Helps in strategic business planning
Examples of Businesses Under NAICS Code 236115
- Custom Home Builders: Firms that specialize in building personalized homes on plots owned by their clients
- Owner-Builders: Individuals who construct their own family homes, either independently or through hired contractors
- Residential Construction Contractors: Companies contracted directly by homeowners to build tailored single-family residences
Frequently Asked Questions (FAQ)
What is the difference between NAICS 236115 and other residential construction codes?
NAICS 236115 specifically excludes builders who construct homes for sale on the open market. Those builders usually fall under the "For-Sale Builders" category. This code focuses on building homes either on contract or for personal use, not for speculative development.
Can an owner-builder qualify under NAICS 236115?
Yes, owner-builders who construct single-family homes primarily for their personal residence typically fall within this NAICS classification.
How does the $45 million size standard apply?
If your businessâs average annual receipts exceed $45 million, you may not qualify as a small business under this NAICS code for government contract bidding or SBA programs.
Are multi-family residential buildings included in NAICS 236115?
No, this code applies only to single-family residential buildings. Multi-family units fall under different NAICS codes in the construction sector.
Conclusion
Understanding NAICS Code 236115 - New Single-Family Housing Construction (except For-Sale Builders) is crucial for contractors, custom home builders, and owner-builders involved in constructing single-family homes. This classification helps define your business activities, clarifies eligibility for size standards, and ensures you are targeting the right market segments.
By focusing on the construction of non-speculative single-family homes and adhering to size standards, businesses can optimize their operations and access government contracting opportunities effectively.
Keywords: NAICS Code 236115, New Single-Family Housing Construction, Custom Home Builders, Owner-Builders, Residential Construction Contractors, Size Standard $45 Million, Construction Sector, Government Contracting, SBA Small Business.
