By Hank Russell
A recent report named New York State as having the sixth-lowest cost to build a newly authorized affordable housing unit. The state has, most recently, made it a priority to construct more affordable housing units, despite the rising construction costs.
According to Construction Coverage, the average value for such an affordable housing unit in 2024 was $219,404. Delaware had the lowest average value with $146,106, followed by New Jersey ($170,086), Mississippi ($193,868), Nebraska ($200,946) and Kentucky ($209,131).
In addition, it was 5.1% higher than in 2023, when it was $208,845 and ninth in the nation. However, it was 15.7% below the national average of $260,229 — an increase of 7.6% from 2023, according to Construction Coverage. New York was also one of 31 states with values below the national average.
Data was collected from the U.S. Census Bureau’s 2024 Building Permits Survey, which tracks authorizations for new residential construction, and the Zillow Home Value Index, which measures the typical home value in local markets. The average construction value per new housing unit authorized is a standardized measure of how much is being invested in the physical structure of newly built homes. (Land costs are excluded.)
In 2024, New York authorized 46,549 affordable housing units — the eighth-most in the nation, based on data from Construction Coverage. However, that is 4.9% off from the previous year; 48,807 units were authorized in 2023. The only three states that authorized more than 100,000 units last year were Texas (225,756), Florida (173,326) and California (101,545).
The total value of the new housing units authorized in 2024 was $10,213,022,000, the eleventh-highest valuation in the U.S. The total valuation in 2023 was $10,193,082,000, which was 0.2% less than it was last year.
In a separate report, the median home price in New York last year was eighth in the country at $508,154. The year prior, it was $470,663 — down 8%. The median home price includes both new and existing homes, said Construction Coverage.
Upon conducting this research, Construction Coverage also found that, during June 2025, the median sales price nationwide was almost $374,000, more than twice the amount in 2012. That same month, real residential construction spending fell 8.5% year over year. They attributed this to higher interest rates, increased building costs and economic uncertainty.
“As home prices continue to climb across the United States, housing affordability remains a critical concern for both prospective buyers and policymakers,” stated the report’s author, Jonathan Jones. “Over the past decade, persistent price growth — driven by limited supply, strong demand, and rising construction costs — has reshaped access to homeownership nationwide. … These conditions highlight the ongoing pressure to expand the supply of affordable homes.”