National Housing Market Outlook

Building Cost Strategies and Affordability Solutions

Matt Saunders photo
Kristin Matthews PHOTO

Kaylin Czajkowski

Matt Saunders

Kristin Matthews

February 25, 2022

Both home prices and home construction costs have skyrocketed the last few years. Here are 5 solutions to address building cost and affordability. 

  1. 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.

  2. 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.

  3. 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.

  4. Integrate coliving spaces. Offering both market quality apartments and coliving opportunities will help address the full spectrum of affordability. 

  5. 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.

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About The Author

Kaylin Czajkowski
Senior Manager, Consulting
Kaylin provides clients with rigorous research and on the ground insights to help them make informed investment decisions in Florida and the Southeast.
Matt Saunders photo
Matt Saunders
Senior Vice President of Building Products Research
Matt leads JBREC’s building products research practice, which includes overseeing our research reports, our macro building products thesis and forecasts for both repair and remodeling and new construction.
Kristin Matthews PHOTO
Kristin Matthews
Vice President, Consulting
Kristin helps JBREC’s clients make informed housing industry investment decisions using our propriety tools, market research, experience, and her “boots on the ground” field work.

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