Exploring the Housing Shortage in America: Real Estate Market Analysis by Mary K. Jacob

The United States is facing a significant housing shortage, with up to 7.2 million homes missing from the market, according to a recent analysis by Realtor.com. This shortage has been driven by population growth outpacing the rate of new home construction, leading to a widening gap between the number of households formed and the number of homes built.

Despite a recent increase in new housing starts, the construction industry is still struggling to keep up with demand. This has implications for both renters and homebuyers, as the limited supply of homes is putting upward pressure on prices.

In certain metro areas, such as San Antonio-New Braunfels, Texas, and Austin-Round Rock, Texas, permitting activity has lagged behind household growth. These cities have experienced significant population growth due to their affordability and desirability.

The housing shortage is a long-term issue that will require coordinated efforts from policymakers, developers, and other stakeholders to address. As the gap between supply and demand continues to widen, finding solutions to increase housing construction will be crucial in ensuring access to affordable housing for all Americans.