Most of the housing market talk in recent years has focused on supply. The inventory of available homes for sale was lower than normal for years and it pushed prices and competition among buyers higher. But while the main story in the market is still supply – mostly because adding additional homes for buyers to choose from is the best way to slow price increases and bring balance to the market – a recent report from Harvard University’s Joint Center for Housing Studies says housing demand has also been down recently. “Many young adults simply cannot afford to form their own households and are instead doubling up or living with family,” Daniel McCue, senior researcher at the JCHS, said. “For others, deep uncertainty about their financial futures and about the broader economy are causing them to delay major life decisions.” Whatever the case, household growth slowed for the third-consecutive year in 2025 – which, in turn, will affect the rate of new home construction and the supply of homes for sale. (source)
