Housing Demand Trend Towards the Missing Middle

Missing middle housing is the most recent conversation that is impacting the demand for the type of housing being constructed. Missing middle housing are smaller building types. Duplexes, fourplexes, bungalows, and cottage-style housing offer smaller and more diverse housing options at lower purchase prices.

But there is more, demand goes beyond housing, and potential homebuyers are seeking communities. Desired neighborhood settings or characteristics include walking to access daily amenities, possibly even employment or public transportation. The millennials are willing to exchange larger square footage for shorter commutes and shared open spaces that foster community interaction and offer security. Baby boomers are seeking the same, for different reasons. Seniors want the opportunity to age in place in multigenerational neighborhoods without leaving their community. A walkable community with varying housing options allows for the transition when driving a car is no longer a viable form of transportation.

Adding housing to the missing middle requires changes in land use policies in both central cities and the surrounding suburbs. The implementation of form-based codes versus the conventional Euclidian zoning code provides greater flexibility for a community to add to its housing inventory without the need for variances or waivers from the Planning Commission. (Arnold, 2022). Cities that are making some progress in filling the missing middle are Austin, Texas; Portland, Oregon; Minneapolis, Minnesota and Seattle, Washington.