Housing Underproduction in California

From 2000 to 2015, California underproduced housing by approximately 3.4 million housing units, more than 15% of the state’s total 2015 housing stock. This housing underproduction has created a huge supply and demand imbalance that is reflected in the housing and homelessness crisis playing out across the state.

If housing development in California continues its current pattern with More of the Same growth, 41% of the 3.4 million new housing units would be single-family homes, while 52% would be missing middle and medium-density, and only 7% would be in residential apartment towers. Our scenario-based investigation of development growth potential found that if these 3.4 million units were developed in an Accessible Growth pattern — building to higher density inside transit corridors and high-opportunity neighborhoods that leverage existing infrastructure — only 6% of the new units would be single-family homes, 64% would be missing middle and medium-density housing, and 31% would be in residential apartment buildings.

Also Read: Losing California’s Unsubsidized Affordable Homes