Shortfalls in Affordable Housing Persist, Says NAR

Although rising inventory is encouraging, many new listings are still out of reach for many Americans, according to the National Association of Realtors®’ 2025 Housing Affordability & Supply Report. 

NAR reports that as of March 2025, U.S. households earning $75,000 a year could only afford 21.2% of home listings, just a slight increase from 20.8% the year prior. Pre-pandemic, that number was 49%. 

To achieve a balanced housing market where listings are aligned with what households at various income levels can afford, the U.S. needs an estimated: 

• 367,000 more home listings at a maximum price of $170,000 
• 416,000 more listings priced at or below $255,000 
• 364,000 more listings priced under $340,000 

Geographically, 44% of the 100 largest metro areas are classified as “Areas Stuck in the Middle,” or areas where housing supply and demand are misaligned but not at crisis levels; 26% are classified as “Areas Falling Further Behind,” where the gap from a balanced market continues to widen and hurt affordability; and 30% are deemed “Areas Getting Closer to Balance.” 

In Pennsylvania, NAR notes that Pittsburgh’s housing market “exhibits housing conditions that closely align with healthy supply benchmarks.” 

“The housing market is at a turning point,” said NAR Senior Economist and Director of Real Estate Research Nadia Evangelou in a press release. “More homes are hitting the market, and it’s encouraging to see the greatest housing-supply gains among middle-income homebuyers.” 

“For many first-time homebuyers, navigating the current housing market still feels like window shopping,” she added. “Listing prices don’t match first-time homebuyers’ budgets. If the promising trend of building smaller homes continues, that could be a meaningful step toward easing the housing affordability gap for more buyers.”