Second-half trends: What does the rest of 2020 hold for affordable housing?
For a year that began so optimistically, 2020 has certainly thrown some curveballs. Naturally, nobody expected the COVID-19 pandemic and shutdown to hit, or that a booming economy would be brought to a startling halt. In the face of this crisis, many investors are wondering how the affordable-housing industry will fare and what the sector will look like at the end of this unforgettable year.
As an owner-operator of affordable-housing communities throughout the country, Avanath is uniquely positioned to address this issue. Our firm has observed the affordable-housing sector in both good and bad economic times and, in second half 2020, we expect to see the following trends in affordable housing.
Increased demand and pressure to build affordable units
With demand for affordable units consistently outstripping supply in the United States, development in this sector was already behind at the start of the year. The unforeseen COVID-19 pandemic and glo