Missing Middle Construction Continues to Fall Flat
‘Missing middle’ construction, which saw disappointing growth in 2021, continued its lackluster trend in the first quarter of 2022. The missing middle housing sector includes townhouses, duplexes and other small multifamily properties.
Despite a hint of accelerated construction in March 2022, this class of multifamily missing middle was flat to start the year. For the first quarter of 2022, there were just 4,000 2- to 4-unit housing unit construction starts. That’s even with the first quarter of 2021 and actually finds that the trailing four-quarter period was 7% lower than the year prior.
As a share of all multifamily production, 2- to 4-unit development is only 3.2% of the total. In contrast, from 2000 to 2010, such home construction made up a little less than 11% of total multifamily construction. Construction of the missing middle has clearly lagged during the post-Great Recession period.
NAHB Chief Economist Robert Dietz provides more analysis in this Eye on Housing blog post.
Learn more about missing middle construction and how it can help address the nation's ongoing housing affordability crisis.
Latest from NAHBNow
Membership | Leadership Meetings
Jan 05, 2026
Leadership Council Delegate Nominations Due Jan. 30NAHB members who are interested in serving as a delegate to NAHB's 2026 Leadership Council are encouraged to contact their local home builders’ association (HBA). The deadline for HBAs to nominate delegates to the 2026 Leadership Council is Friday, Jan. 30.
Membership | HBA
Jan 05, 2026
Dallas BA Builds Mortgage-Free Homes for Veterans, First Responders in NeedThe Dallas Builders Association has partnered with Operation Finally Home, a 501(c)(3) nonprofit, for more than a decade to provide mortgage-free homes for injured veterans and first responders.
Latest Economic News
Economics
Jan 05, 2026
Housing Share of GDP: Third Quarter 2025Housing’s share of the economy was 16.1% in the third quarter of 2025, according to the latest estimates of GDP produced by the Bureau of Economic Analysis. This share is down from 16.3% in the second quarter but has remained about 16% since the fourth quarter of 2019.
Economics
Jan 05, 2026
Strong Economic Growth for Third QuarterA belated GDP report shows that the U.S. economy expanded at a strong pace in the third quarter–July through September–before signs of cooling appeared in the labor market and consumer confidence weakened.
Economics
Jan 02, 2026
Top Posts – The Power of Women in the WorkforceOver the past 125 years, women have played a crucial and multifaceted role in the labor force. Increasing women’s participation in the workforce is not only essential for individual and family well-being, but also contributes significantly to overall labor force participation rates and economic growth by adding more workers and enhancing overall productivity.