In the past five years, the nation has seen an unprecedented surge of almost 310,000 new affordable apartments built — with almost one-third of that total delivered in 2024, according to a new report from RentCafe, a nationwide apartment search website.
Affordable housing construction rose 73% compared to the previous five-year period (2015–2019), far outpacing the 36% growth in overall apartment construction, the report said.
RentCafe said it analyzed affordable housing construction over the last 10 years and while large coastal markets such as Seattle and New York saw major output, fast-growing locations like Austin and San Antonio — where completed apartments more than doubled — also emerged as key contributors to the country’s affordable housing pipeline.
Here are some key takeaways from the report:
- Nearly 310,000 affordable apartments have been built nationwide since 2020, accounting for 12.6% of all new apartment buildings.
- 2024 alone delivered 91,000 affordable units — nearly a third of the five-year total.
- Affordable housing construction rose 73% compared to 2015–2019, outpacing overall apartment building growth.
- San Antonio, Phoenix, and Charlotte recorded the fastest growth in affordable housing for renters among major U.S. metros.
More than 91,000 affordable apartments were completed in 2024 alone — the highest annual total in the past decade. That figure stands out not only for its scale, but also for how sharply it departs from previous years. The surge made 2024 the single largest yearly contribution to affordable housing construction in ten years, setting it apart as a defining moment in the recent building cycle.
Affordable Housing Takes Larger Portion
Notably, RentCafe said that affordable housing is beginning to comprise a larger portion of all new apartment construction. In 2024, nearly 14% of all new apartments were income-restricted — up from just under 9% just 10 years earlier — indicating a growing emphasis on affordability in new development.
RentCafe said that the American Rescue Plan has helped move things forward by funneling billions of dollars into housing via state and local fiscal recovery funds. On top of that, RentCafe said that many states introduced or expanded their own tax credit programs and that those efforts helped developers cover rising costs and move projects across the finish line faster while simultaneously keeping rents affordable for the long term.
Between the two five-year periods (spanning 2015 to 2019 and 2020 to 2024), RentCafe said that the U.S. saw a dramatic increase in the completion of affordable apartments: The number of apartments for lower-income renters delivered nationwide surged by 73%, rising from roughly 179,000 in the first half of the 10-year period to nearly 310,000 in the latter.
The nationwide growth in affordable housing construction between 2020 and 2024 was driven, in large part, by expanded public funding and policy support, RentCafe said. At the federal level, the Low-Income Housing Tax Credit (LIHTC) continues to play a central role in getting projects built.
Also, a key update in the form of income averaging gave developers more flexibility by allowing a broader range of income levels across units, while still meeting affordability requirements.
Leading Cities for Affordable Construction
Seattle tops U.S. metros in affordable housing construction in last five years. Here’s a closer look at the Top Five from RentCafe:
1. Seattle
New affordable apartments (last 5 years): 14,290
Share of new affordable apartments: 24.22%
Five-year increase: 39.7%
Seattle is the nation’s leader in affordable housing construction with more than 14,000 affordable apartments completed in the last five years. This marks an increase of nearly 40% compared to the previous five-year period, when just more than 10,000 such units were delivered. Affordable housing for renters accounted for one-quarter of the metro’s total of 59,000 new apartment buildings during this time.
A key contributor to this surge is Four Corners, a 430-unit development located at 8102 Evergreen Way in Everett, Washington. Backed by a $1 million grant from the Connecting Housing to Infrastructure Program (CHIP), the project stands out not only for its scale, but for extending affordable housing beyond Seattle’s limits into Snohomish County.
2. New York City
New affordable apartments (last 5 years): 14,240
Share of new affordable apartments: 31.70%
Five-year increase: 185.26%
New York City has seen one of the most substantial surges in the construction of affordable housing for renters, completing 14,240 such units since 2020 — a whopping 185% increase compared to the previous five years. During this timeframe, affordable units accounted for 32% of all new housing deliveries locally.
One of the largest recent examples is the 669-unit property at 2926 W. 19th St. in Brooklyn near Coney Island. Projects of this size illustrate how recent policy and investment efforts are translating into visible changes across New York’s housing landscape.
3. Austin, Texas
New affordable apartments (last 5 years): 13,343
Share of new affordable apartments: 14.16%
Five-year increase: 142.29%
Austin more than doubled its output of affordable apartments, delivering over 13,300 new units during a period of intense population growth and mounting housing demand. Despite this increase, affordable apartments made up just 14% of the total new housing supply in the area.
A standout project is High Point Preserve, a 454-unit affordable community at 9301 E. U.S. Highway 290. Located in East Austin — one of the metro’s fastest-changing areas — the project helps expand affordable housing options for renters amid ongoing cost increases.
4. Twin Cities: Minneapolis & St. Paul, Minnesota
New affordable apartments (last 5 years): 10,722
Share of new affordable apartments: 18.87%
Five-year increase: 84.93%
The Twin Cities completed 10,722 affordable apartments since 2020 — an increase of nearly 85% versus the previous five-year period. These units accounted for almost 19% of all new housing deliveries during this time. That growth shows how the metro is stepping up efforts to build more housing that working families can actually afford.
Here, Bren Road Station — a 260-unit community situated at 11001 Bren Road E. in Minnetonka — is an important development in the region. The project adds new affordable housing to Minnetonka — a suburb where development has often leaned toward higher-end projects, making options at lower price points less common.
5. Atlanta, Georgia
New affordable apartments (last 5 years): 10,486
Share of new affordable apartments: 11.10%
Five-year increase: 153.35%
Atlanta completed nearly 10,500 affordable apartments in the last five years. Although that’s a remarkable 153% increase compared to the previous five years, these affordable units comprised just 11% of all new housing completed locally during that timeframe.
Among the area’s major developments in affordable housing for renters is the Reserve at Douglasville, which brought 286 apartments for lower-income renters to 7755 Dallas Highway 92. Set in a growing suburb west of Atlanta, the property introduces affordable apartments to an area where new housing has often skewed toward higher price points.
The post U.S. Enjoys Five-Year Surge in Affordable Apartment Construction first appeared on The MortgagePoint.
