The Housing Affordability Crisis Isn’t a Supply Crisis June 20, 2026

A recent Fox Business article highlighted a troubling statistic: nearly one-third of adults under age 35 are living with their parents as housing costs continue to soar. The article cites comments from National Association of Realtors Chief Economist Lawrence Yun, who suggests that increasing housing supply through new construction will eventually bring prices down and improve affordability.

While I agree that housing affordability is a serious problem, I believe the diagnosis—and therefore the proposed solution—is fundamentally flawed.

The Real Shortage Exists in Starter Homes

In my experience observing the housing market, there is not a widespread shortage of homes across all price ranges. The shortage is concentrated primarily in the entry-level segment of the market.

Affordable starter homes continue to receive multiple offers and often sell very quickly. The demand is clearly there. However, the assumption that building more homes will solve this specific problem overlooks a critical economic reality: today’s builders cannot produce homes at yesterday’s prices.

The inexpensive homes that first-time buyers are chasing today were largely built years or even decades ago when construction costs were dramatically lower.

At that time:

·       Land was less expensive.

·       Lumber costs were lower.

·       Labor costs were lower.

·       Building materials were less expensive.

·       Regulatory and permit costs were lower.

·       Plumbing, electrical, and HVAC systems cost less.

·       Home fixtures and finishes were significantly cheaper.

As a result, many of the affordable homes on the market today represent a price point that simply cannot be replicated through new construction.

New Construction Is Not Creating Affordable Housing

When economists argue that increasing supply will lower prices, they often rely on basic supply-and-demand principles. In theory, more homes should create more competition and lower prices.

The problem is that builders are not producing homes that compete directly with existing starter homes.

Even when developers build smaller homes, the cost of land, labor, materials, permits, impact fees, insurance, financing, and infrastructure frequently pushes prices well beyond what many first-time buyers can afford.

In many markets, a newly built “starter home” can cost hundreds of thousands of dollars more than an older entry-level home.

That means new construction is often adding inventory at higher price points rather than increasing the supply of truly affordable housing.

Why Prices May Not Fall Significantly

The expectation that home prices will decline substantially as more homes are built may underestimate the financial realities facing builders.

Developers cannot continually reduce prices below their cost of production. If profit margins disappear, construction slows or stops altogether.

In addition, many homeowners are locked into mortgage rates obtained during the historically low-rate environment of 2020 and 2021. These owners have little incentive to sell and trade into higher-rate mortgages, which limits resale inventory.

The combination of high construction costs and low existing-home turnover suggests that significant price declines are unlikely in many markets.

Instead, we may see prices stabilize, but not necessarily become affordable for first-time buyers.

A Better Solution: Address Financing

If the goal is to help younger Americans become homeowners, policymakers should consider focusing more attention on financing rather than assuming that construction alone will solve the problem.

One potential approach would be to provide qualified lower-income first-time buyers access to mortgage programs with significantly reduced interest rates, such as 3.5 percent financing.

Lower borrowing costs directly improve affordability by reducing monthly payments, allowing buyers to qualify for homes that would otherwise remain out of reach.

Unlike attempts to force home prices downward, financing assistance addresses the affordability challenge without requiring existing homeowners to lose equity or builders to sell homes below economically viable levels.

Looking Beyond Simple Supply-and-Demand Models

Housing markets are more complex than many economic models suggest. Not all supply is equal.

Building luxury homes, move-up homes, and higher-priced new construction does little to help a young family searching for a modest starter home. The affordability crisis is not simply a matter of too few houses. It is a matter of too few affordable houses.

Until policymakers and economists recognize that distinction, solutions focused primarily on increasing overall housing supply may fail to address the real problem facing first-time buyers.

The challenge is not merely building more homes. The challenge is creating pathways to ownership for people who can afford a starter home payment but cannot overcome today’s combination of high prices, high interest rates, and limited entry-level inventory.

That is where the conversation should begin.

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Hidden Tucson: The Farmers Market That Feels Like the Heart of the Community  June 6, 2026

After more than 30 years in Tucson real estate—and watching **Oro Valley and Marana grow into vibrant communities—I’ve learned something important:

The places that make people love Tucson usually aren’t flashy.

They’re the places where locals gather naturally.

Today’s feature is one of my favorite examples of that.

Let me introduce you to
Heirloom Farmers Markets at Rillito Park

More Than Just a Farmers Market

If you’ve never been to the Sunday market at Rillito Park, here’s the best way I can describe it:

It feels like Tucson.

Not the tourist version.
Not the brochure version.The real version.

You’ll find:

• Local farmers selling seasonal produce
• Small food vendors and bakers
• Tucson-made coffee, sauces, honey, and artisan products
• Families, cyclists, professionals, retirees—all mixing together

It’s relaxed, welcoming, and genuinely local.

🌄 A Snapshot of Tucson’s Lifestyle

One thing buyers consistently tell me when relocating here is this:

“We want community.”

And honestly, places like this are what they mean—even if they don’t realize it yet.

The Heirloom Farmers Market gives you a glimpse into:

• Tucson’s slower pace
• The strong local business culture
• The outdoor lifestyle people move here for

On a cool Tucson morning with the mountains in the background, it’s hard not to picture yourself becoming part of it.

☕ The Morning Routine Many Locals Love

After decades here, I’ve noticed that many longtime Tucsonans have their routines:

• Coffee stop
• Farmers market
• Scenic drive or brunch afterward

And this market fits perfectly into that rhythm.

You’re not rushing through errands here.

You’re wandering. Talking. Discovering new vendors.

That’s part of the appeal.

🏡 Why This Matters for Homebuyers

When people are comparing Tucson to other cities, they often focus on:

• Home prices
• Cost of living
• Neighborhoods

But eventually, the conversation shifts.

They start asking:

• “What do people do here?”
• “What’s daily life actually like?”
• “Where do locals spend time?”

Places like the Heirloom Farmers Market answer those questions better than any brochure or online search ever could.

Because this is real Tucson life.

🌶️ Tucson’s Food Culture Is on Full Display

One thing I love about this market is how strongly it reflects Tucson’s growing food scene.

You’ll often find:

• Fresh tortillas and Sonoran-inspired foods
• Locally roasted coffee
• Seasonal produce from Southern Arizona farms
• Specialty baked goods and handmade products

And because Tucson is a UNESCO City of Gastronomy, food culture here runs deeper than many people expect.

This market showcases that beautifully.

💡 Insider Tips From a 30-Year Tucson Local

If you go, here’s my advice:

• Arrive early for the best parking and cooler weather
• Bring reusable bags—you’ll probably buy more than expected
• Don’t rush through it
• Grab coffee and walk the full market before deciding what to buy

And if you’re exploring neighborhoods nearby, this is a great excuse to drive through central Tucson afterward.

🚴 Bonus: The Location Is Perfect

Another reason this spot stands out is where it’s located. 4502 N !st Ave

Rillito Park connects to:

• The Loop trail system
• Central Tucson neighborhoods
• Easy access toward Oro Valley and the Foothills

So many locals combine the market with:

• Morning bike rides
• Walks along the river path
• Weekend meetups with friends

It’s part of the Tucson lifestyle people end up loving.

summer HOurs begin april 5th, 8am-12pm

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☕ Hidden Tucson: The Independent Coffee Shops Driving Tucson’s New Energy May 2026

After more than 30 years in Tucson real estate, I’ve noticed something interesting:

One of the best ways to measure the health of a community isn’t by looking at new rooftops.

It’s by looking at the small businesses people choose to support.

And right now, Tucson’s independent coffee scene is thriving.

Today’s feature isn’t just one destination—it’s a trend that’s helping shape the city’s future.

🌵 More Than Just a Cup of Coffee

When many people think of Tucson, they think about:

• Mountain views
• Desert landscapes
• Mexican food
• Outdoor living

What often surprises newcomers is the city’s growing collection of locally owned coffee shops.

These aren’t cookie-cutter chains.

They’re gathering places.

Workspaces.

Meeting spots.

Community hubs.

And they tell an interesting story about where Tucson is headed.

☕ Why Coffee Shops Matter

When clients relocate to Tucson, Oro Valley, or Marana, they often ask me:

“What is everyday life like here?”

One of my favorite ways to answer that question is by pointing them toward local coffee shops.

Because that’s where you’ll find:

• Remote workers
• Entrepreneurs
• University students
• Young professionals
• Retirees
• Neighborhood residents

All sharing the same space.

A great coffee shop says a lot about a community.

And Tucson has some excellent ones.

🏢 The New Tucson Economy

Over the past decade, Tucson has attracted:

• More remote workers
• More entrepreneurs
• More technology professionals
• More people relocating from larger cities

Those residents bring different expectations.

They want:

• Comfortable places to work
• Reliable Wi-Fi
• Locally owned businesses
• Walkable gathering spaces

The growth of Tucson’s coffee culture reflects that shift perfectly.

📍 A Few Local Favorites Worth Exploring

Presta Coffee Roasters

One of Tucson’s most respected local roasters, Presta has become a favorite among coffee enthusiasts and professionals looking for a productive workspace.

Yellow Brick Coffee

Known for its welcoming atmosphere and commitment to local partnerships, Yellow Brick has built a loyal following across Tucson.

Savaya Coffee Market

A longtime Tucson favorite that continues to attract both locals and newcomers seeking high-quality coffee and a comfortable place to meet.

Black Crown Coffee Co.

Part coffee house, part Tucson institution, this spot has maintained its unique character while the city around it continues to grow.

🏡 What This Means for Homebuyers

When people compare Tucson to larger metropolitan areas, they’re often surprised by how connected the community feels.

Places like these help create that feeling.

They’re where:

• Business relationships start
• Friendships form
• Community connections grow

And that’s important.

Because buying a home isn’t just about finding the right property.

It’s about finding the right lifestyle.

🌇 A Sign of Tucson’s Growth

One thing I’ve loved watching over the years is Tucson’s ability to grow without losing its identity.

New developments continue to emerge.

New businesses continue to open.

Yet many of the most successful businesses remain locally owned and deeply connected to the community.

That’s not something every city manages to preserve.

☕ Tucson’s Coffee Culture Is Brewing More Than Great Coffee

After more than 30 years in Tucson real estate, I’ve learned that some of the best indicators of a community’s growth aren’t new subdivisions or shopping centers—it’s the local businesses people choose to support.

Tucson’s independent coffee scene is thriving, with favorites like Presta Coffee Roasters, Yellow Brick Coffee, Savaya Coffee Market, and Black Crown Coffee Co. serving as gathering places for professionals, entrepreneurs, students, and neighbors alike.

These aren’t just coffee shops—they’re community hubs that reflect Tucson’s growing economy, creative spirit, and strong support for local business.

For those considering a move to Tucson, Oro Valley, or Marana, these are the kinds of places that help turn a city into a community.

Featured Locations:
📍 Presta Coffee Roasters – 100 S Avenida del Convento
📍 Yellow Brick Coffee – 3220 S Dodge Blvd
📍 Savaya Coffee Market – 2905 E Skyline Dr
📍 Black Crown Coffee Co. – 4024 E Speedway Blvd

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