Shortage of Homes in the Future?

Some economists are speculating that a real problem which may be faced in the future could be a shortage of homes. Right now that certainly isn’t the case and seems the farthest thing from accurate, but behind this line of thought is the real truth of a drastic reduction in new homes being built today. On average about 1.3 million new homes are built annually, but 2009 saw just shy of 400,000 new homes constructed. While 2010 has seen an increase in the number of new homes being built, the annualized pace is only close to 675,000 homes which is well short of the average demand. With the finances of many people stretched thin there has been a move towards shared homes, rentals, or moving in with family. When the economy picks up and especially if there is an unexpectedly quick recovery there is the potential for a lack of available homes in the future with this reduction in new homes hitting the market.

Stephen Woodall

REALTOR, GRI @ Long Realty Company

Stephen has made real estate his full-time career and passion since 2008, primarily specializing in the Foothills & the Northwest Tucson areas of Oro Valley and Marana. He is a multi-million dollar producer, representing both sellers & buyers. Stephen has tremendous experience in new home sales, listing & selling primary residences, listing & selling vacant land, listing & selling luxury homes, investment properties, rentals, and real estate development parcels.