Greg Vasil

The Boston Globe hit the nail on the head recently when it wrote a scathing editorial criticizing Massachusetts’ out-of-control housing costs. It stressed that, because the region has not built enough housing to keep up with demand, prices are out of reach for far too many prospective homeowners.  

Just look at the numbers. Nationally, the median sale price of a single-family home in 2021 was $357,100. In the Greater Boston region it was $642,200. The lack of housing is also bad for renters, with 46 percent of them considered rent-burdened according to the Globe.  

While the reason for high housing costs – a lack of supply – is broadly understood, the scale at which Massachusetts has failed to meet production needs is stunning when compared to the rest of the country.  

According to March 2023 research from Apartment List, the Greater Boston area built only 2.2 multi-family housing units per 1,000 residents and 0.8 single-family homes per 1,000 residents in 2022. However, during that same time, areas such as Jacksonville, Raleigh, and Austin built at least double, if not triple, the amount of multi-family housing units per 1,000 residents when compared to the Boston area. They also built more than eight times the number of single-family homes per 1,000 residents that the Boston area did. Eight times.  

If the commonwealth doesn’t build enough housing, people will continue to flee the region and put in jeopardy the things that make Massachusetts, Massachusetts: a strong, vibrant workforce, an unparalleled public education system, and a wide array of deep, diverse cultures. Around 110,000 residents left the state between April 2020 and July 2022. We must not let this become part of a larger trend.  

Lexington Should Inspire Towns 

Massachusetts must prioritize housing construction across all price points to meet the needs of current and future residents. To achieve this, the state must work with cities and towns to ease barriers to production and incentivize development.  

One of the primary tools the state has to incentivize housing production is the MBTA Communities Law, which mandates that communities on or around MBTA stations meet specific housing development thresholds. The law applies to more than half of the state’s cities and towns, meaning that it has the potential to dramatically increase housing production and lower overall costs.  

While some communities have lagged in implementing the MBTA Communities Law, others like Lexington have embraced the opportunity. The town recently moved to rezone nearly three times the amount of land for housing production than the state requires. As a result, Lexington is on track to create more housing, reducing costs for current residents and lowering barriers for prospective ones.  

Communities across the commonwealth should emulate Lexington’s effort, helping the state address a long-standing crisis while taking advantage of the opportunity for growth. Additionally, the state should remain dedicated to carrying out the MBTA Communities Law, even if some minor dissent does persist, as the policy is an essential tool to addressing the housing shortage. Ultimately, the MBTA Communities Law should inspire the state to work with localities to find further ways to overcome production barriers and meet the moment.  

Affordable Construction Must Be Boosted 

It is also crucial that the state increase support for the upkeep and production of affordable housing units that so many vulnerable residents rely on.   

Currently, the state helps provide housing to a number of at-risk populations, including low- income elderly residents and families. The state also offers specialized services for individuals dealing with mental illness or a physical disability. Since market-rate housing is not often an option for these residents, it is essential that the state set aside adequate resources for specialized housing programs. The state must not only meet demand by building enough units, but ensuring that the units are well maintained, welcoming homes in the long term.  

The state took a big step in the right direction this spring officials announced that they were setting aside $62 million in state and federal funding to produce hundreds of affordable housing units, showing that action is possible. The units, located across the state, serve a variety of purposes. For example, the funds will create units for low income seniors in Jamaica Plain as well as low income individuals in Lynn and homeless families in Chelsea. These efforts should be expanded across the commonwealth.  

As the state’s housing crisis rolls on, we know what is causing it, and we know how to address it. By building off of programs like the MBTA Communities Law and increasing investments in affordable housing projects, the state can create more housing, and ultimately welcome more residents to the commonwealth. If we don’t act, we risk putting the future of Massachusetts in jeopardy.  

Greg Vasil is the CEO of the Greater Boston Real Estate Board.