More Housing Is Coming. Just Not Enough.

For years, I've believed the housing crisis comes down to one simple issue: we do not have enough homes.

New data shows San Diego County approved nearly 12,000 housing units over the past year, one of the strongest building periods we've seen in years. Most of those permits were for apartments and multifamily housing.

That's good news.

What This Means for San Diego

More housing will help. More apartments create more options for renters. More supply reduces competition. More inventory gives people flexibility.

What it probably won't do is suddenly make neighborhoods like Carmel Valley, Del Mar, or North County Coastal affordable. Most of the new construction is multifamily housing, while the supply of detached homes remains extremely limited.

That is one reason home values have remained so resilient despite higher interest rates.

My Take

Building more housing is the right solution. In fact, I would argue it is the only long term solution.

But anyone expecting these permit numbers to suddenly solve affordability is likely going to be disappointed. This is progress, not a cure.

The housing shortage took decades to create, and it will take years of consistent building to fix.

If you're curious how new development could impact your neighborhood, your home's value, or your plans to buy or sell, let's have a conversation. Understanding where housing supply is being added is becoming one of the most important factors in predicting where the market goes next.