At a glance
ITB charges 0.37% a year, above the 0.32% average of the 4 funds most like it (the 4th cheapest of 5). It has $2.60B in assets, the 2nd largest of that group; it paid 1.39% of its price in distributions over the past 12 months, quarterly. Over the past year it returned −12.1% with distributions reinvested (S&P 500: +11.5%), the weakest of those 5 funds; over three years it returned +9.2% a year. At its worst it fell 52.1% in the 2020 crash (S&P 500: 33.7%) and 39.6% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 4 months and 12 months after the lows. Its ten largest positions make up 64.1% of the fund, out of 45 in all.
The short version
The iShares U.S. Home Construction ETF (ITB) is a BlackRock index fund that tracks the Dow Jones U.S. Select Home Construction Index, a narrow basket of homebuilders and housing-related companies. Builders dominate: its 10 largest holdings, led by D.R. Horton at about 16%, made up 64% of the fund as of June 30, 2026. Its price swings sharply, and it costs 0.37% a year, slightly more than the SPDR S&P Homebuilders ETF (XHB) at 0.35%.
Price history
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ITB -12.1% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| ITB official prospectus, to Dec 31, 2025 | — | -5.27% | — | +12.45% | +14.26% | — |
| S And P Total Market Index index, same period | — | +17.05% | — | +13.07% | +14.22% | — |
| Dow Jones U S Select Home Construction Index index, same period | — | -4.75% | — | +12.94% | +14.75% | — |
| ITB price data to Oct 27, 2026 | -5.1% | -12.1% | +9.2% | +5.9% | +14.4% | +3.7% |
- Over the year to Oct 27, 2026, ITB returned -12.1%, 5th of 5 among similar funds.
- Its 5-year annualized return was +5.9% and its 10-year +14.4%.
- In the 2020 COVID crash it fell 52.1% and regained its old high 4.1 months after the low.
- Its worst full calendar year was 2007 (-57.9%); its best was 2012 (+79.3%).
- The deepest fall in its price history was 86.5% (May 5, 2006 to Mar 6, 2009), recovered by Jan 19, 2018.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | -5.0% | — |
| 2025 | -5.3% | -5.27% |
| 2024 | +2.1% | +2.12% |
| 2023 | +68.9% | +68.83% |
| 2022 | -26.3% | -26.18% |
| 2021 | +49.3% | +49.15% |
| 2020 | +26.4% | +26.40% |
| 2019 | +48.7% | +48.89% |
| 2018 | -30.9% | -30.97% |
| 2017 | +59.6% | +59.45% |
| 2016 | +1.9% | +1.81% |
| 2015 | +5.1% | — |
| 2014 | +4.7% | — |
| 2013 | +17.5% | — |
| 2012 | +79.3% | — |
| 2011 | -9.1% | — |
| 2010 | +10.4% | — |
| 2009 | +23.2% | — |
| 2008 | -43.0% | — |
| 2007 | -57.9% | — |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 69.4% over that stretch · deepest drop along the way 70.5%, back to its old high 45.4 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 51.6% over that stretch · deepest drop along the way 52.1%, back to its old high 4.1 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 32.9% over that stretch · deepest drop along the way 39.6%, back to its old high 12 months after the low |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $1.0900 | |
| 2025 | $1.6100 | +242.6% |
| 2024 | $0.4700 | -4.1% |
| 2023 | $0.4900 | -5.8% |
| 2022 | $0.5200 | +67.7% |
| 2021 | $0.3100 | +19.2% |
| 2020 | $0.2600 | +13.0% |
| 2019 | $0.2300 | +15.0% |
| 2018 | $0.2000 | +66.7% |
| 2017 | $0.1200 | 0.0% |
| 2016 | $0.1200 | +33.3% |
| 2015 | $0.0900 | 0.0% |
| 2014 | $0.0900 | +136.8% |
| 2013 | $0.0380 | -70.8% |
| 2012 | $0.1300 | +44.4% |
| 2011 | $0.0900 | +12.5% |
| 2010 | $0.0800 | +14.3% |
| 2009 | $0.0700 | -78.1% |
| 2008 | $0.3200 | +10.3% |
| 2007 | $0.2900 |
What's inside
As of Jun 30, 2026, the fund held 45 securities; the ten largest made up 64.07% of assets. It also reported 5.06% in a money-market fund, most likely cash collateral from lending out shares rather than uninvested money.
| Holding | Weight | |
|---|---|---|
| D.R. HORTON, INC. | 15.70% | |
| PULTEGROUP, INC. | 9.55% | |
| LENNAR CORPORATION | 7.12% | |
| NVR, Inc. | 6.72% | |
| TOLL BROTHERS, INC. | 5.02% | |
| THE SHERWIN-WILLIAMS COMPANY | 4.53% | |
| THE HOME DEPOT, INC. | 4.42% | |
| LOWE'S COMPANIES, INC. | 4.08% | |
| TOPBUILD CORP. | 3.60% | |
| LENNOX INTERNATIONAL INC. | 3.34% | |
| MASCO CORPORATION | 3.02% | |
| TAYLOR MORRISON HOME CORPORATION | 2.49% | |
| OWENS CORNING | 2.35% | |
| MERITAGE HOMES CORPORATION | 2.08% | |
| INSTALLED BUILDING PRODUCTS, INC. | 1.92% |
By country
United States 99.41%By asset type
Stocks 99.41%By sector
Sectors of the companies held, for the 42.9% of the fund in companies that have a stock page here; other holdings and cash aren't classified. Source: N-PORT holdings report as of Jun 30, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jun 30, 2026, investors withdrew a net $154.4M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +6.40%, -3.56%, +12.61%.
How it works
ITB tracks the Dow Jones U.S. Select Home Construction Index. S&P Dow Jones Indices runs the index and is independent of BlackRock. The index centers on companies that build homes, including makers of mobile and prefabricated homes. It also includes furniture makers, home improvement retailers and producers of building materials. These non-builder companies must earn most of their revenue from home construction and remodeling, and together they are capped at 35% of the index. Companies must meet a minimum size, and large, mid-size and small companies can all qualify. The index provider sets each company's weight.
BlackRock Fund Advisors manages the fund using "representative sampling." Instead of always buying every stock in the index, it holds a mix chosen to match the index's size, industry and risk profile. At least 80% of net assets must be in index stocks. As of June 30, 2026, the fund held 45 stocks. Portfolio turnover was 12%, meaning it replaced only a small part of its holdings over the year. The fund does not try to beat the index or turn defensive when markets fall.
The fund may use derivatives such as stock index futures. As of June 30, 2026, its one futures position was a tiny fraction of assets. It may also lend out securities worth up to one-third of its assets to earn extra income. Its 5.06% cash position likely reflects collateral from that lending.
What it really costs
- ITB charges 0.37% a year, versus an average of 0.32% for the similar funds below (4th of 5, cheapest first).
- Using the prospectus's standard example, $10,000 invested would cost about $38 in the first year and $468 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| ITB | $38 | $119 | $208 | $468 |
In a retirement portfolio
ITB is a concentrated bet on one cyclical industry, and its history of deep, long declines points to a small side position rather than a core holding.
ITB could add targeted exposure to U.S. housing alongside broad stock and bond funds, but its history calls for caution. Its deepest drop was 86.5%, from May 2006 to March 2009, a stretch that included the 2008 financial crisis. It did not regain that peak until January 2018, about 106 months later. Its worst calendar year was 2007, at -57.9%. It fell 52.1% in the 2020 COVID crash and recovered in about four months. It fell 39.6% in the 2022 bear market and took about 12 months to recover. Anyone who has to sell shares during a slump like these would lock in heavy losses.
Income is modest. The trailing 12-month yield was 1.39% as of October 27, 2026, paid quarterly. In the SEC's standard example, costs on $10,000 come to $38 after one year and $468 after 10. Past results don't predict the future, and a retirement plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors seeking a targeted bet on U.S. homebuilders such as D.R. Horton, PulteGroup, Lennar and NVR, its largest holdings as of June 30, 2026.
- People who can keep it as a small slice and hold through steep falls, like its 39.6% drop in the 2022 bear market.
- Investors who want the larger homebuilder fund: about $2.6 billion in net assets versus about $1.6 billion for XHB as of June 30, 2026.
Look elsewhere if
- Retirees who may need to sell in a downturn: it lost 86.5% from 2006 to 2009 and didn't recover until January 2018.
- Investors wanting broad diversification: as of June 30, 2026, its top 10 holdings made up 64% of the fund, all tied to housing.
- Cost-focused investors: its 0.37% expense ratio is above the 0.32% peer average and the 0.30% charged by Hoya Capital Housing ETF (HOMZ).
Close alternatives
Matched by closest holdings overlap from the latest N-PORT reports (no similar fund shares 20% or more of its holdings).
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| ITB this fund | — | 0.37% | $2.60B | -12.1% | +9.2% |
| XHB SPDR S&P Homebuilders ETF | 52% | 0.35% | $1.63B | -7.9% | +13.4% |
| HOMZ Hoya Capital Housing ETF | 35% | 0.3% | $34.8M | -6.6% | +12.0% |
| PKB Invesco Building & Construction ETF | 14% | 0.57% | $429.6M | -10.6% | +23.5% |
| XLY Consumer Discretionary Select Sector SPDR F… | 10% | 0.08% | $22.59B | -0.5% | -8.0% |
Questions investors ask
Is ITB good for retirement?
ITB fits a small, higher-risk slice of a retirement portfolio better than a core role. Over the 10 years through December 31, 2025, it returned 14.26% a year. The broad S&P Total Market Index returned 14.22% over the same period, but ITB's swings were far larger. It lost 86.5% from its 2006 peak to its 2009 low and took until January 2018 to recover. Its yield was 1.39% as of October 27, 2026.
What's the difference between ITB and XHB?
Both funds focus on U.S. homebuilding and related companies, and their holdings overlap by about 52%. ITB tracks the Dow Jones U.S. Select Home Construction Index and costs 0.37% a year. The SPDR S&P Homebuilders ETF (XHB) costs 0.35%. As of October 27, 2026, XHB had returned -7.9% over one year and 13.4% a year over three years, versus -12.1% and 9.2% for ITB. ITB is larger, with about $2.6 billion in net assets versus about $1.6 billion as of June 30, 2026.
Does ITB pay dividends?
Yes. ITB pays dividends quarterly. Over the 12 months through October 27, 2026, it paid $1.26 per share, a trailing yield of 1.39%. That is modest income. The fund exists to give exposure to housing companies, not to produce large payouts, and dividends from homebuilders and building-products firms can rise or fall with their profits.
What are ITB's top holdings?
As of June 30, 2026, ITB's largest holdings were D.R. Horton (about 15.7%), PulteGroup (9.6%), Lennar (7.1%), NVR (6.7%) and Toll Brothers (5.0%). Next came Sherwin-Williams, Home Depot, Lowe's, TopBuild and Lennox International. The fund held 45 stocks, and the top 10 made up about 64% of assets, so a handful of big homebuilders drive much of its performance.
How do interest rates affect ITB?
Rising interest rates can hurt ITB. Its prospectus lists interest rates among the main risks for home construction companies. Higher mortgage rates make homes less affordable, which can slow sales for builders and their suppliers. In 2022, when rates rose quickly, the fund lost 26.18%. Its one-year volatility, a measure of how widely returns swing, was 29.6% as of October 27, 2026.