Housing

Housing is a basic necessity. Yet shortages and skyrocketing costs are putting it out of reach for more and more Americans. Driven by high interest rates and low supply, home purchase prices jumped 40% between 2019 and 2022. Just 10% of new homes were selling for less than $300,000 in the last quarter of 2022. Rents also shot up, with the median U.S. rent climbing above $2,000 for the first time in history. The average renter household now spends 30% of income on rent, a record high – limiting the ability of hardworking Americans to pay for other staple needs like food and health care, not to mention save to own a home.

A perfect storm of factors is to blame. Home construction plummeted during the Great Recession in 2008 and never recovered. Between 2008 and 2018, fewer new homes were built than in any decade since the 1960s, according to Fannie Mae. Then came the pandemic, and with it supply chain disruptions, inflation and general economic upheaval. But the consequences of the affordable housing shortage go beyond the economic. This critical issue cuts across nearly every facet of our society, contributing to homelessness, limiting our ability to expand our workforce and eroding social cohesion.

Governors are applying a multifaceted approach, working hard to lower housing costs by increasing funding for affordable housing, rethinking land use regulations, streamlining the permitting process and exploring housing innovations. Each state’s approach will be different because each state has different challenges.


Latest

Governors Talking the Talk and Walking the Walk on Housing

Governors Talking the Talk and Walking the Walk on Housing

Governor Greg Gianforte joined the National Association of Realtors this week to discuss Montana’s progress in improving housing availability and affordability. Montana’s approach tackles housing from every angle – contributing ...
CJPA Briefing On State Homelessness and Reentry Policy

CJPA Briefing On State Homelessness and Reentry Policy

On Thursday, April 25th, the National Governors Association (NGA) hosted its monthly briefing for the Criminal Justice Policy Advisors (CJPA) network. The briefing discussed state actions on homelessness, with a ...
State Strategies To Mitigate The Impact Of Housing Instability On Child Welfare Involvement

State Strategies To Mitigate The Impact Of Housing Instability On Child Welfare Involvement

Family housing instability can both lead to, and prolong, involvement with the child welfare system, a process that can be both expensive to the state and traumatic for the child ...
Governors Share Housing Solutions

Governors Share Housing Solutions

No state is immune from housing supply challenges – from residents leaving states due to high costs and low affordability to lack of housing for public workers like fire, police, ...
Governors Share Bipartisan Solutions to Housing Shortage

Governors Share Bipartisan Solutions to Housing Shortage

Washington, DC – During the annual Winter Meeting of the National Governors Association (NGA), Governors from a diverse array of states and territories participated in a roundtable discussion on housing ...
Improving Housing Availability and Affordability

Improving Housing Availability and Affordability

Governors are applying a multifaceted approach to lower housing costs by increasing funding for affordable housing, rethinking land use regulations, streamlining the permitting process and exploring housing innovations. Housing is ...
Governors’ Responses to Challenges in Housing Availability and Affordability

Governors’ Responses to Challenges in Housing Availability and Affordability

Every state is impacted by the national housing shortage. Housing prices have soared. Inflation has driven interest rates higher, increasing monthly mortgage costs and almost doubling the household income needed ...
How Governors Are Addressing Housing Access and Affordability and the Connection to Workforce Success

How Governors Are Addressing Housing Access and Affordability and the Connection to Workforce Success

Governors are increasingly confronting both workforce and housing shortages in a whole of government, complementary manner to not only ensure economic mobility but also to make sure businesses reach their ...
Governors Focus on Affordable Housing

Governors Focus on Affordable Housing

In 2023 State of the State addresses, Governors outlined efforts to increase housing availability and improve affordability. The high cost of housing and what that means for communities is top ...