Both home prices and home construction costs have skyrocketed the last few years. Here are 5 solutions to address building cost and affordability.
- Prepare for continued big project remodeling demand. We expect the strength from 2021 to continue throughout this year. This will continue to put upward pressure on costs.
- Monitor new construction material revenue growth, which will significantly outpace starts in 2022. Companies that anticipate and satisfy the higher demand this year will take significant market share.
- Accommodate higher density! Townhome demand will remain strong. Young professionals and first-time home buyers will give up square footage and lost size for affordability and convenience to jobs, retail, and nightlife.
- Integrate coliving spaces. Offering both market quality apartments and coliving opportunities will help address the full spectrum of affordability.
- Anticipate an increase in accessory dwelling units (ADUs) as municipalities ease restrictions and consumers grapple with affordability challenges. We expect to see more ADUs used for families, rental income, and additional office space.
Our team compiled 22 opportunities for 2022, which we will continue share over the next few weeks. They cover a wide range of topics, from affordability solutions to migration patterns. You can watch all 22 Opportunities for 2022 here.
For more information on building cost and affordability trends, please fill out this form or contact one of our team members below.
