New York, November 23, 2025
Shelter residents across urban centers are urgently calling on policymakers to prioritize budget allocations towards affordable housing solutions to combat the escalating housing affordability crisis and homelessness in 2025. This demand comes amid an acute shortage of affordable housing units and rising eviction risks globally and nationally.
Escalating Housing Shortage Demands Immediate Action
The global housing market faces a severe deficit, requiring an estimated 6.5 million additional affordable housing units in developed economies to meet current demands. In the United States alone, experts estimate a need for 2 to 4 million new homes over the next decade to close the affordability gap driven by sharply rising home prices and increased mortgage rates. This shortage disproportionately impacts low-income and vulnerable populations, contributing to a growing homeless demographic reliant on shelter services.
The urgency voiced by shelter residents highlights the critical consequences of these shortages, including overcrowding in temporary accommodations and heightened housing insecurity for millions.
Structural Barriers Worsen the Crisis
Research indicates that the core issue extends beyond sheer supply shortages to systemic obstacles such as limited land availability and restrictive zoning laws. These factors severely constrain the development of affordable housing, particularly in well-located urban areas where demand is greatest. This spatial mismatch exacerbates affordability challenges and limits access to employment and essential services for low-income households.
Experts emphasize that zoning reform and improved land accessibility are essential components for effective housing policy, enabling scalable affordable and mixed-use developments that can serve diverse household needs.
Homelessness Prevention Requires Targeted Support
Effective homelessness prevention programs are vital yet underfunded. Successful interventions depend on resources for financial assistance, legal aid to prevent evictions, and housing relocation support. However, identifying at-risk households remains a significant challenge, complicating efforts to target aid efficiently.
Expanding these programs with coordinated case management and timely financial support is critical to reducing shelter dependence and promoting long-term housing stability.
Budget Priorities to Address the Crisis
Reflecting shelter residents’ demands, key budget considerations must include increased investments in affordable housing projects and reforms facilitating better land-use policies. Additionally, expanding rental assistance programs and eviction protections can reduce displacement rates.
Policies must also acknowledge shifting demographic needs by providing housing solutions suitable for smaller or aging households, groups often underserved by current offerings.
Addressing the housing crisis comprehensively requires dedicated financial commitments and policy reforms that can break existing barriers—efforts that are essential to alleviate homelessness and ensure equitable housing access in 2025 and beyond.