Nationwide housing starts fell 0.8% in August to a seasonally adjusted annual rate of 1.18 million units, according to newly released data from HUD and the Commerce Department.

Single-family production rose 1.6% in August to a seasonally adjusted annual rate of 851,000 after a downwardly revised July reading. Year-to-date, single-family starts are 8.9% above their level over the same...