2026 Community Association Growth Outlook

Community associations remain a significant and growing part of the U.S. housing market. Foundation projections estimate that the number of associations could increase from approximately 373,000 at the end of 2025 to as many as 377,000 in 2026—continuing a pattern of long-term growth in planned communities, condominium associations, and housing cooperatives.

Although affordability challenges, mortgage rates, housing inventory, and economic conditions continue to influence the broader market, demand for professionally governed and maintained communities remains an important part of the nation’s housing landscape.

Last updated: September 2026

Factors Shaping the Market

Housing Inventory

Available housing inventory has improved in many markets, although conditions continue to vary considerably by region. Additional listings and new construction may provide buyers with more options, but the national housing supply remains constrained.

Home Sales and Affordability

Elevated mortgage rates and housing costs continue to affect affordability and sales activity. Market conditions remain sensitive to interest rates, household finances, local inventory, and broader economic developments.

New Construction

New residential construction continues to add housing supply, particularly in growing metropolitan and suburban markets. Many new developments include a community association responsible for shared property, amenities, infrastructure, or services.

Regional Differences

Housing conditions are increasingly localized. Inventory, pricing, insurance availability, construction activity, and affordability can differ substantially by state and metropolitan area.

Stability in the Community Association Market

Despite broader economic or geopolitical volatility, community associations continue to draw buyers thanks to their amenities, predictable governance, and emphasis on community standards. Whether buying newly constructed homes or existing properties, many Americans continue to prioritize the benefits these communities offer.

Why Community Associations Continue to Grow

Community associations provide a framework for maintaining common property, establishing community standards, funding shared services, and supporting neighborhood amenities. They are particularly common in new residential development, where associations may be responsible for:

• Common-area maintenance
• Roads and sidewalks
• Stormwater systems
• Trash and recycling
• Snow removal
• Recreational facilities and shared amenities

By assigning responsibility for certain infrastructure and services to associations and their members, the community association model can reduce or supplement services that might otherwise be provided by local governments.

What Residents Say About Community Association Living

The Foundation’s 2026 Homeowner Satisfaction Survey provides a national snapshot of residents’ experiences in community associations:

• 86% rate their overall experience as positive or neutral.
• 63% describe their experience as very good or good.
• 23% describe their experience as neutral.
• 82.6% characterize their relationship with their association board as friendly.
• 32% say their board “absolutely” serves the community’s best interests.