The housing shortage is acute for small, entry-level homes—it’s the biggest problem facing the housing market is that there just aren’t enough homes for people to buy or rent.
The biggest ever investment in housing
In their social spending bill, Build Back Better, Democrats want to make the biggest investment in affordable housing in history – more than $150 billion.
“Unless you’re making a lot of money right now you can’t afford a house in this country,” Senator Jon Tester said at a recent hearing. He represents the state of Montana where now home prices and rents have been rising dramatically too. We’ve got businesses that can’t expand because there’s no workforce housing,” Tester continued. “There’s no housing for people who make regular wages ok?”
With the housing market collapse, nearly half of all builders went out of business
In the aftermath of the housing market collapse and financial crisis more than a decade ago, about half of home building companies went out of business. Year after year since then builders just did not build enough homes. So now economists say we’re roughly 2 million homes short of what we need. Read more