The US affordable housing vacancy rate remained unchanged in the third quarter, according to a report from Moody's Analytics REIS. At the close of the third quarter, the rate was 2.4%, within the 1.9% to 2.5% historical average for the asset class. Moody's expects affordable housing will close the year with a vacancy rate of 2.4%.

Despite the pandemic—which impacted low-wage industries most significantly—the affordable housing vacancy rate has remained stable throughout the year. After peaking above 2.5% in the fourth quarter of 2019, affordable housing vacancy sharply declined to 2.4%, and has stayed there this year.

New construction is one reason that occupancy rates are unchanged. US affordable housing inventory increased .5% this year, down from .8% in 2019. New construction deliveries totaled 5,780, below the historical quarterly average. While construction was considered essential during the pandemic, delays were inevitable given business closures.