The cost to deliver much needed housing is rising at unsustainable rates, exacerbating the housing crisis in cities around the globe. To change this course, we need to develop innovative, affordable, and inclusive housing solutions. Identifying ways to reduce the cost of housing through construction techniques, regulatory reform, and operating expenses will be key. Prefabricated modular construction will be an industry game-changer, potentially cutting production time in half and reducing costs by 20% compared to conventionally built projects.

As working from home gains traction and the lines between live, work, and play increasingly blur, spaces inside and out of residential units will need to be designed for increased versatility while promoting productivity. Increased demand for remote work will introduce new types of common areas and more flexibility in amenity spaces. Since work now happens anywhere, residential common areas should become versatile, transformable social spaces — addressing multiple work “modes,” such as collaboration and socializing.

The global void of affordable and subsidized housing, on top of decades of discrimination, has created real strains. The growing desire for social equity will help drive the need to build more inclusive housing. To increase opportunities in historically marginalized communities, designers and developers should look to infill housing, including “missing middle” housing — diverse, affordable housing options, such as duplexes, fourplexes, cottage courts, and multiplexes — in job-rich and education-rich neighborhoods.

In the wake of a global health crisis, people are craving increased connection to the outdoors, including private outdoor open space for dwelling units. This will drive increased demand for private balconies and outdoor open space, especially in dense and high-rise multifamily residential projects. Residential developments that address key aspects of healthy living, such as increasing fresh air through natural ventilation and access to nature through biophilic design strategies, will have an edge.