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How do 2020 Candidates Want to Solve Housing Shortage?

Friday, January 3, 2020

The Urban Institute's Karan Kaul and John Walsh have provided a quick overview of the proposals put out by several Democratic presidential candidates to address the housing supply shortage. The writers say that the fact this issue is drawing the attention of candidates "promising" and the proposed solutions "a major step in the right direction." As background, construction of new residential units is not keeping up with demand, especially given the 80 million Millennials who are in or entering prime household formation and homebuying years. The lack of supply in the face of demand almost always causes higher prices for consumers. UI notes that it was the big cities most affected by the supply/demand imbalance at first, but the lack of a nationwide response has caused the lack of affordability to begin filtering into smaller markets of late.

 

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