Read the original article by Jennifer Castenson on Forbes
The perfect storm of affordable housing crisis is brewing right now: a threat made up of the already low supply that is hitting the increasing post-pandemic demand head on.
Before the pandemic, supply was an issue. The National Low Income Housing Coalition published the GAP report in late 2019 that shows a shortage of seven million affordable homes for low-income households at or below the poverty guidelines, or 30% of the area median income.
So, now, those already taxed supply issues are being further pressured by the pandemic.
Jay Parsons, vice president of multifamily optimization and deputy chief economist at RealPage RP -2.6%, a property management software company, forecasts that the total apartment supply will remain high through 2021 due to the pipeline of projects that were approved and under way prior to COVID. But, he cautions that the pipeline is thinning out and there will likely be a large drop off of completions by 2022…
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