CNN Report on Housing- Shortage Growing (3/8/23)
Below (attached link) is a good CNN report on housing shortage issues. I found it interesting how they break out multi-family and single family. Many families who are living in multi-family units (whether rental or own-occupied), would prefer a single family home- especially in the regions where we are currently focused.
"The gap between single-family home constructions and household formations grew to 6.5 million homes between 2012 and 2022. However, this figure overstates the housing shortage, since new multi-family homes offer options both to buyers and renters. If multi-family construction is included — which is predominantly rental units — this gap is cut to 2.3 million homes"
"Looking only at single-family homes, the rate of housing starts would need to triple to keep up with demand and close the existing 6.5 million home gap in 3 to 4 years."
These are compelling, and a bit shocking, numbers (yes, the press always wants to get the 'shock' reaction with everything these days...). The real numbers that are actionable are local numbers- as we all know home ownership/real estate is local.
This report does confirm to us that there are quite a few local areas where the housing shortage (single family homes specifically) is severe and not getting better. Demand for nice mid-priced homes is not being met.
By picking the right "local" locations we can help address the broader housing issue, one community at a time, and have some fun and make some money at the same time.