The lack of affordable housing in the United States has become a major topic of discussion, with high costs and limited availability being key issues. In light of this, Walker & Dunlop Chairman and CEO Willy Walker invited Ryan R. Marshall, CEO of home-building company PulteGroup, to join him on the Nov. 13th episode of the Walker Webcast.
During their conversation, Marshall discussed PulteGroup’s growth under his leadership since 2016 and they also delved into important topics such as why there is a shortage in new home construction.
Marshall noted that both presidential campaigns during the recent election addressed the need for more housing – something he sees as a positive development for our country. However, there is currently a significant deficit ranging from 2 million to 7 million homes according to various economists (with Marshall estimating it at around 3 million). Unfortunately, building more homes isn’t an easy solution due to factors like NIMBYISM (Not In My Backyard) where people are resistant to new developments near their own neighborhoods.
Other challenges include zoning laws and land entitlements which are controlled by local governments who may not prioritize or support increased housing supply due to concerns about infrastructure strain or other issues. This makes it difficult for builders like PulteGroup who typically deliver around 1.5 million homes annually – far less than what is needed.
Another topic discussed was technology’s role in addressing these challenges through modular construction methods that combine design with factory manufacturing before moving structures onto sites – but progress has been slow so far despite some investment from companies like PulteGroup into PropTech funds and innovative startups such as Rheia HVAC systems which use advanced techniques for heating/cooling distribution within walls rather than traditional pipes running through attics.
Tariffs were also brought up during their conversation – specifically those imposed on Canadian lumber by President Biden’s administration which have impacted prices but have since come down. Marshall also noted the potential impact of tariffs on Chinese goods, which could affect the global economy and potentially increase costs for some household items.
For those who missed it, replays of this episode are available through various Walker Webcast channels such as YouTube, Spotify and Apple – with new episodes featuring industry experts released every week.
