For years, the U.S. has been facing a housing shortage. From strict zoning laws to a lack of construction workers, housing across the nation is scarce, and although construction rebounded slightly in 2020, it has since dipped again. As of January 2025, new housing starts were at 1.37 million annually, or 25% below a peak seen in 2022, according to Construction Coverage.
Despite the overall shortfall, some regions of the U.S. have seen strong growth over the past decade. Due to lower costs and fewer building restrictions, states in the Mountain West and Sun Belt have seen a majority of new homes added from 2013 to 2023. Utah leads with a 25.1% increase in new homes, followed by Texas at 20.9%, Idaho at 20.6%, and Colorado at 17.4%.
In contrast, West Virginia is the only state to experience a net decline in housing stock, decreasing by 1.8%. Meanwhile, Great Lakes states such as Michigan, Illinois, and Ohio have seen relatively slow housing growth, reflecting broader trends of population stagnation or decline in the region. Read more
