Georgia Is Winning in Affordability and Homebuilding: Can Gov. Kemp Keep It Going?

Georgia continues to be one of the South’s housing success stories.

The state earned a B on Realtor.com® State-by-State Housing Report Card, part of the Let America Build campaign that evaluates how well states balance affordability with new home construction.

While doing well, this isn't the case in much of the rest of the country. Hoping to spur on action, President Donald Trump recently put pressure on large homebuilders to increase construction nationwide. In a post on his Truth Social platform in early October, he accused major builders of hoarding lots to prop up prices — likening them to OPEC, which restricts oil output to maintain high prices.

“They’re my friends … but now, they can get Financing, and they have to start building Homes. They’re sitting on 2 Million empty lots, A RECORD,” Trump wrote. He urged Fannie Mae and Freddie Mac to intervene and “get Big Homebuilders going” in order to “restore the American Dream.” 

Georgia’s strong showing reflects its combination of steady population growth, active builders, and relatively attainable prices compared with the rest of the nation. Here's how they're pulling it off.

Strong performance across the board

Georgia scored 64.7 overall, placing it among the top-performing states in the U.S. The median listing price was $392,678 in 2024, paired with a median household income of $72,877—numbers that together support a healthy level of affordability. The Realtor Affordability Score came in at 0.64, above the national average and a key factor in the state’s high grade.

Georgia is also one of the nation’s construction leaders. The state accounted for 4.6% of all new home permits in 2024 while representing just 3.3% of the U.S. population, giving it a strong permit-to-population ratio of roughly 1.4.

The new construction premium—the price difference between new and existing homes—was 15.2%, showing that builders are still managing to produce competitively priced homes despite rising material and labor costs.

Georgia’s regional edge

Just 7 states accounted for over half of the permits for construction issued in 2024: Texas, Florida, California, North Carolina, Arizona, South Carolina and Georgia.

According to the most recent Realtor.com New Construction Insights, the South continues to dominate homebuilding activity nationwide. The median listing price for new homes was $450,797, nearly flat year over year, while resale home prices climbed 2.4%. That pushed the national new construction premium to just 7.8%, the lowest level on record.

Georgia’s performance fits that pattern. Builders in the Atlanta metro area have helped the state maintain a balanced housing market, with new construction supply increasing 37% since 2020. At the same time, other major markets—like Savannah, Augusta, and Columbus—have benefited from moderate price growth and rising demand from both in-state and out-of-state buyers.

But the rest of the country desperately needs to catch up.

“America is short more than 4.7 million homes, and every new home built helps close that gap while fueling local economies," says Shannon McGahn, executive vice president and chief advocacy officer at the National Association of Realtors®.

"NAR research shows that the U.S. has faced a persistent housing shortage for more than a decade, driving up prices and limiting options for buyers. Expanding housing supply creates jobs, supports small businesses, and affords families the opportunity to build generational wealth.”

Governor Kemp’s housing initiatives

Hoping to keep momentum, Governor Brian P. Kemp commissioned the Rural Workforce Housing Initiative as a means to keep homebuilding a priority in the state.

The Georgia General Assembly approved $35.7 million to launch the initiative in the Amended Fiscal Year 2023 budget. By the 2025 session, the legislature approved $28 million in the Amended Fiscal Year 2025 budget and $6.5 million in the Fiscal Year 2026 budget for the program.

The grant awards for next year will go towards infrastructure development and supporting 198 housing units across three communities. In line with prior awards, these recipients demonstrated strong collaboration and partnership with local real estate developers.

"Every Georgian deserves to be able to live in the community where they work, and today's announcement is just the latest reminder of our commitment to that idea," said Governor Kemp when announcing the recipients in June.

"I'm grateful for those in the legislature who helped us fund the Rural Workforce Housing Initiative to meet the needs of hardworking families across our state who are benefitting from the historic job growth we've attracted. These particular grants will have a positive, generational impact on Hawkinsville, Hinesville, and Waynesboro in the years to come."

Georgia’s B grade shows that consistent investment, balanced growth, and pro-construction policies are paying off.

This article was produced with editorial input from Dina Sartore-Bodo and Gabriella Iannetta.