Harvard Housing Report Says Affordability Crisis Is Worsening

Housing remains one of the most basic necessities, yet affordability challenges continue to worsen across the United States, according to Harvard University's latest "State of the Nation's Housing" report, Andrea Riquier and Ignacio Calderon reported for USA Today.

A "FOR SALE" sign in a suburban neighborhood as housing affordability challenges continue to affect American households.

The report paints a sobering picture of the housing market.

“Persistent affordability challenges and rising economic uncertainty are hurting housing markets,” the report states.

“Weakening labor markets and plummeting immigration have dampened household growth and mobility. Sales of existing homes sit at three-decade lows and inventories are rising in the face of high homebuying costs.”

Only 1.1 million new households were formed in 2025, a figure roughly comparable to levels seen during the Great Recession.

Researchers attributed the slowdown to student debt burdens, a weaker job market, and low consumer confidence. Mobility also continued to decline. Just 11.2 percent of Americans relocated in 2024, an all-time low.

The report found that 20.7 million homeowner households, or 24 percent of all homeowners, spent more than 30 percent of their income on housing costs in 2024. Of those, 9.6 million spent more than half their income on housing expenses.