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Costs and policy shifts challenge affordable housing but growth expected in 2026, TD Bank survey finds
Research - NOVEMBER 12, 2025

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Costs and policy shifts challenge affordable housing but growth expected in 2026, TD Bank survey finds

by Released

Half of affordable housing professionals believe market challenges will impact their deal pipelines in 2026. High construction costs (55 percent) and price increases from tariffs (39 percent) are cited as the biggest barriers to development. As a result, only 29 percent of professionals plan to expand housing developments next year, according to TD Bank’s survey of 238 participants at the Governor’s Conference on Housing and Economic Development in Atlantic City, N.J.

Despite these concerns, professionals remain optimistic about the industry. More than half (52 percent) are confident that access to affordable housing will expand in 2026, and nearly two-thirds (62 percent) expect development to rise, with the strongest demand projected in:

Multifamily housing (64 percent) Housing for seniors/elderly populations (58 percent) Workforce housing for essential and middle-income workers (50 percent)

"In this current environment, the g

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