Population is stagnant. But housing supply is growing. Is this the beginning of a Great Correction?
California’s population has begun growing again — ever so slightly. But will the housing supply ever catch up?
The cost of housing in California increased sharply during the early part of the COVID pandemic — as it did in many places. Now, even though housing growth has been sluggish, cost has leveled off. There are probably several reasons for this, not the least of which is the rapid rise in interest rates. But there may be another factor: The supply of housing, sluggish though it may be, is growing faster than the population.
To take a longer view, CP&DR looked at DOF’s estimates of change in population versus change in housing units since the 2020 Census – almost four years, during most of which California’s population declined. And the bottom line is that during that time, the supply of housing increased by 3 percent and the population declined by 1 percent.
FULL STORY: Population Down 1%, Housing Up 3% -- Is That Enough?
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