By AZ Business Magazine
Relaxing zoning rules is one of the best ways to address the nation’s ongoing housing affordability crisis, according to an independent panel of economists and housing experts polled in Zillow’s Home Price Expectations (ZHPE) Survey1. Zoning reform, which would allow more housing within existing neighborhoods and growing communities, was ranked as one of the most effective means to address affordability by 73% of those surveyed
“It seems straightforward: We need to build more homes,” said Dr. Skylar Olsen, Zillow’s chief economist. “Changes through policies like modest densification will give us more ‘at bats’ to create density and help communities stay livable for everyone. Without a huge injection of new homes in the near future, affordability will continue to be a challenge for many — especially for first-time home buyers.”
Housing affordability remains a defining feature of the U.S. housing market. The latest Zillow® data shows that while monthly mortgage costs are now just under $1,600 for a typically valued home after a 20% down payment, payments are still 46% higher than last January and $754 higher than before the pandemic (January 2020).
