Roughly 4.3 million new apartments will be necessary by 2035 to meet rising demand, according to research from the National Multifamily Housing Council (NMHC) and National Apartment Association.
Some 266,000 new units will be needed annually. Housing affordability has worsened over the past several years, according to the research. The number of affordable units, defined as those with rents less than $1,000 per month, declined by 4.7 million from 2015 to 2020.
“Producing enough new apartments to meet demand requires new development approaches, more incentives and fewer restrictions,” researchers say. Texas, Florida, and California account for 40% of future demand and will collectively require 1.5 million apartments by 2035.
“The lack of available housing is holding our country back,” said NMHC president and CEO Doug Bibby. “Whether it is a multifamily residence, duplex or single-family home, we need a massive supply of new for sale and rental homes—including millions of new apartments by 2035.”
Related Stories
Multifamily Housing | Feb 2, 2015
D.C. developer sees apartment project as catalyst for modeling neighborhood after N.Y.'s popular High Line district
It’s no accident that the word “Highline” is in this project’s name. The goal is for the building to be a kind of gateway into the larger redevelopment of the surrounding neighborhood to resemble New York’s City’s trendy downtown Meatpacking District, through which runs a portion the High Line elevated park.
Multifamily Housing | Jan 31, 2015
5 intriguing trends to track in the multifamily housing game
Demand for rental apartments and condos hasn’t been this strong in years, and our experts think the multifamily sector still has legs. But you have to know what developers, tenants, and buyers are looking for to have any hope of succeeding in this fast-changing market sector.
Multifamily Housing | Jan 31, 2015
20% down?!! Survey exposes how thin renters’ wallets are
A survey of more than 25,000 adults found the renters to be more burdened by debt than homeowners and severely short of emergency savings.
Multifamily Housing | Jan 31, 2015
Production builders are still shying away from rental housing
Toll Brothers, Lennar, and Trumark are among a small group of production builders to engage in construction for rental customers.
Multifamily Housing | Jan 29, 2015
5 predictions for the multifamily sector in 2015
Brian Carlock of PwC expects more younger adults to get into the game, despite continuing affordability issues.
Multifamily Housing | Jan 27, 2015
Multifamily construction, focused on rentals, expected to slow in the coming years
New-home purchases, which recovered strongly in 2014, indicate that homeownership might finally be making a comeback.
Multifamily Housing | Jan 22, 2015
Sales of apartment buildings hit record high in 2014
Investors bet big time on demand for rental properties over homeownership in 2014, when sales of apartment buildings hit a record $110.1 billion, or nearly 15% higher than the previous year.
Modular Building | Jan 21, 2015
Chinese company 3D prints six-story multifamily building
The building components were prefabricated piece by piece using a printer that is 7 meters tall, 10 meters wide, and 40 meters long.
| Jan 19, 2015
Four Seasons tower will be Boston's tallest
On Jan. 14, 2015, developer Carpenter & Company and executives from the Four Seasons broke ground on the Four Seasons Hotel & Private Residences, which will become the tallest building in Boston at 699 feet.
Smart Buildings | Jan 7, 2015
Best practices for urban infill development: Embrace the region's character, master the pedestrian experience
If an urban building isn’t grounded in the local region’s character, it will end up feeling generic and out-of-place. To do urban infill the right way, it’s essential to slow down and pay proper attention to the context of an urban environment, writes GS&P's Joe Bucher.