A sharp increase in the housing supply gap is projected to worsen the affordability crisis, particularly for the disadvantaged, over the next year.
The gap will reach 4.5 million units in 2022, up from 2.5 million in 2018, according to a CoreLogic Public Policy Executive. This will be a crisis for those who earn less than half of what their neighbors do.
This cohort will face a shortage of 2.6 million units next year. People who earn more than what their neighbors earn will not be spared either, facing a gap of about 650,000 units in 2022.
Multiple factors are hampering development of more multifamily units. These include a rapid increase in material costs, such as a 150% spike in lumber prices in 2021. The necessity for multiple funding sources, adding complexity to deals, is another key factor.
Developers complain that the multiple financing sources needed for each project have deadlines that aren’t aligned. This results in longer timelines that add costs.
Related Stories
Codes and Standards | Sep 28, 2017
Resources available for new OSHA respirable crystalline silica regulation
NRCA offers compliance tools for contractors.
Codes and Standards | Sep 28, 2017
New tool compares HVAC system efficiency
IAPMO and Hydronics Industry Alliance unveil BEST to evaluate systems in early design phase.
Codes and Standards | Sep 26, 2017
Anti-drone technology can ward off unauthorized drone flights
The technology can be used to prevent terrorist attacks and spying.
Codes and Standards | Sep 25, 2017
How-to guide to renovating shopping centers available
E.U. research project focuses on energy efficiency and occupant comfort.
Codes and Standards | Sep 21, 2017
After construction crane collapses during Irma, regulations questioned
Cranes rated for 140 mph winds didn’t hold up to 100 mph gusts.
Codes and Standards | Sep 20, 2017
Energy efficiency measures pay off in some not-so-obvious ways
Access to better financing, tax incentives, rent premiums, among the benefits to greener buildings.
Codes and Standards | Sep 19, 2017
Benchmarking regulations prompt jump in green certified properties
2016 saw a slight rise in total certified U.S. green office space.
Codes and Standards | Sep 18, 2017
Changes likely to come to federal wetlands regulations
However, states may step up regulations as feds relax them.
Codes and Standards | Sep 14, 2017
Gentrification means a new mindset for city planners
Rising rents elicit reexamination of zoning principles.
Codes and Standards | Sep 13, 2017
OSHA issues extension for compliance with crane operator certification requirements
Comments on proposed rule sought through Sept. 29.
