United States faces housing shortage and aging property crisis

The United States is experiencing a significant housing crisis characterized by a shortage of affordable units and an aging national housing stock. A deficit of approximately 6.8 million affordable housing units exists, with many low-income families spending more than half of their income on rent. By definition, affordable housing requires occupants to spend no more than 30% of their gross income on housing and utilities.

Compounding the supply issue is the age of existing homes. Data from Harvard University’s Joint Center for Housing Studies indicates that one-quarter of U.S. homeowners live in houses built before 1960. The median age of the American home has reached 44 years, the oldest on record. This aging infrastructure often requires significant repairs to plumbing, heating, and structural elements.

Economic pressures, including inflation and high mortgage rates exceeding 7%, have made maintaining these older properties difficult for many households. As discretionary income decreases, homeowners are increasingly turning to home equity lines of credit (HELOCs) to fund necessary repairs. HELOC balances reached $459 billion in the second quarter of 2026.