Housing shortage trends could be slowing, says the Pikes Peak Regional Building Department

COLORADO SPRINGS, Colo. (KRDO) - According to a report from the Common Sense Institute, Colorado Springs is facing a considerable housing shortage of up to 27,000 units.

However, the Pikes Peak Regional Building Department is showing hope, with a 33% increase in building permits issued since the beginning of the year.

"When you look at the amount of people growing or the amount of people coming to the Pikes Peak region, you see reports like this, and you see that housing is a need," Greg Dinaldo with the Pikes Peak Regional Building Department said.

The Pikes Peak Regional Building Department says that while they have been seeing an increase so far this year, residents in Colorado Springs may be feeling the impact of the last couple of year's steep decline in housing.

"It's a little bit concerning whenever you start to see those numbers kind of dropping the way that they did in 2020 to 2023," Dinaldo with the Pikes Peak Regional Building Department said.

However, supply and demand are just part of the complex housing issue.

"Based on our social media pages and whatnot... nobody can afford the homes being built," Dingrando said.

According to the Common Sense Institute, there is a pretty stark disconnect between household mortgage capacity rates and the value of available single-family homes in Colorado Springs. That means many of the homes here are more expensive than people can afford.

Colorado Springs Mayor Yemi Mobolade issued a statement acknowledging the impact and scope of the housing shortage in Colorado Springs, shortly after the are was named #3 most desirable in the country to live in via the U.S. World and News Report. He also said, in part, that the city is continuing to work on solutions, including supporting for-profit and non-profit developers and offering incentives among other solutions.