With the U.S. population increasing by 7.6% over the last decade, the nation's housing deficit is estimated at more than 3.8 million units.
Some markets do better than others in boosting housing supply, with New York City leading the pack. The city's population grew by 6.55% over the last decade, so finding a place to live is challenging, according to a StorageCafe analysis of U.S. Census data. Multifamily development is booming, with 238,000 apartments - 8% of New York's housing stock - added in the past 10 years.
Although New York has more apartments, they're getting smaller. The average size of an apartment built between 2013 and 2022 was 712 square feet, down from 728 square feet during the previous 10 years.
Half of the top 10 cities for residential construction are in Texas, mainly because of the massive influx of new residents that pushed the Lone Star State's population to more than 30 million people in 2022.
Houston, which ranks No. 2 for housing development nationwide, is the most active residential market in Texas. About 55,000 permits were issued for single-family homes and 89,000 for multifamily units between 2013 and 2022.
Austin isn't far behind with 136,000 building permits issued, and Dallas, Fort Worth and San Antonio also rank among the top 10 most-active U.S. housing markets.
Top 10 Cities For Housing Development Over The Last Decade
- New York City: 242,000
- Houston, Texas: 145,000
- Los Angeles: 138,000
- Austin, Texas: 136,000
- Seattle: 91,000
- Fort Worth, Texas: 87,000
- Dallas: 86,000
- Phoenix: 81,000
- Denver: 77,000
- San Antonio, Texas: 73,000
"In recent years, Los Angeles has become a popular destination for newcomers and had almost 4 million residents in 2022, which represents a population growth of almost 2.5% in the last decade," the report states. "As a result, the demand for housing has increased."
Seattle's economy is thriving, with a 6% increase in jobs in the 12 months leading up to July 2022, according to the report, which declares that Seattle is a seller's market.
"This upward trend is reflected in a median sale price that has jumped by 7.6% in the past year, reaching $845,000 in October 2022. And with only 1.9 months of housing supply available, Seattle is a seller's market where homes fly off the shelves and often above the list price."
