Inventory shortages — two words that plague housing headlines. It makes sense given that houses are not built quickly, and it’s going to take time and lot more work to get housing inventory where it needs to be.
Lynn Fisher, the Mortgage Bankers Association’s vice president of research and economics, recently noted that there will be an additional 13 million to 16 million households over the next decade in the U.S.
But the problem is that housing inventory is already in a huge deficient.
Laurie Goodman, codirector of the Housing Finance Policy Center with the Urban Institute, recently sat down with HousingWire at the J. Ronald Terwilliger Foundation for Housing America's Families Forum in Dallas on Nov. 18 to talk about affordability issues in housing.
During her interview, she answered the question, “What keeps you up at night?”
As an expert in housing, Goodman intricately knows the complications and successes in housing, meaning if something keeps her up at night, it must be a huge issue.
“The thing that keeps me up the most at night is actually the supply situation,” Goodman said.
Although when you look at supply, Goodman explained that you find it that we’re building a little more than a million units a year of single-family homes, multi-family homes, and manufactured housing, which is just about the rate of household formation.
“However, that doesn’t count for obsolescence,” she said.
Check out the video below for the rest of her explanation.