Though fewer homeowners are underwater on their mortgages and more new homes are being built, the housing market still has some issues that need to be worked out.
Urban Land analyzed the Harvard Joint Center’s State of the Nation’s Housing 2017 report, which was released earlier in June. While residential construction has increased for the seventh straight year, production is still markedly low by historical standards. Housing completions between 2007 and 2016 totalled 8.98 million units, significantly below the 15 million average for every 10-year period from the 1970s to the 1990s.
The lack of available homes have pushed up house and rent prices. In particular, middle-income residents are struggling to afford rent, which makes it difficult to save up money to buy a home.
New multifamily construction has been concentrated on high-end and luxury rental property. The number of units renting for $2,000 per month or more increased 97 percent between 2005 and 2015, while the new supply of units renting for less than $800 actually declined by 2 percent—260,000 units—during that period.
Advertisement
Related Stories
Labor + Trade Relations
Who's Earning What in Construction
Workers in construction management roles may earn a higher median wage, but on average, lower-paid occupations have experienced somewhat faster wage growth
Build to Rent
Build-to-Rent Is Booming, Particularly in These Metros
A recent report finds that the Phoenix metro leads with more than 4,000 build-to-rent units completed in 2023, and Texas is the leading state for build-to-rent development
Sustainability
Which Green Building Practices Are Home Builders Using Most?
A recent report reveals which green-building practices are most popular among single-family home builders and remodelers
