With single-family zoning regulations in place in a certain area, it’s illegal to build multi-family properties such as duplexes, apartments, or townhouses, or other commercial type properties like retail or office. By preventing any other type of dwelling from being built on those plots of land, the result has become a housing shortage in many neighborhoods.
To combat low-income housing shortages and promote new construction, municipalities may change their requirements for single-family zoning. Policies on ending single-family zoning are also meant to be used as a mechanism to ease residential segregation and reduce costs of living.
Many experts ask whether banning single-family zoning will solve the housing crisis. According to reports, the US needs at least five more million homes for supply to catch up to demand. The most significant reasons for the housing shortage are:
* The high rate of household formation.
* Low supply of homes for sale.
* Supply chain disruptions.
* Labor shortages.
Many advocates say that ending single-family zoning is an important step to solving the problems that come with reforming single-family zoning laws. With the shortage in supply, home prices have reached record-high levels. Consequently, this has made homeownership less attainable, driving homelessness. For those who are able to buy houses, expensive homes and higher mortgages due to high interest rates have led to strained family budgets.
Single-Family Zoning Reform – Good or Bad?
Many debates exist on whether ending single-family housing is the solution. Many believe that changing single-family housing requirements alone will be enough to increase the housing supply. Many also worry that reforms will lead to the end of suburbs as neighborhoods will become denser. And when there’s a bigger population in a community, the natural next step is to introduce more businesses and amenities, resulting in a more commercialized area.
Other experts are also quick to point out that single-family zoning reform doesn’t necessarily address the issues that prevent more investors and developers from new construction. During inflationary environments, it is too expensive to invest in new developments due to higher costs of labor and materials. It’s not only more difficult to borrow money from financial institutions, but it’s also more expensive due to the increased interest rates.
We also need to consider the needs and preferences of consumers. For many, a single-family housing community is a dream. People want to raise their families in the suburbs, which are less dense, and, therefore, believed to be safer. Fewer residents in an area lead to closer-knit communities. The suburbs are also perceived to be cleaner, greener, and, therefore, healthier due to fewer vehicles contributing to air pollution and more trees, landscaping, and less crime.
People living in single-family communities may be against zoning reform. However, they should also consider the positive impacts and opportunities, such as addressing the housing supply crisis and promoting economic mobility. Because when the housing shortage is addressed, there are opportunities for economic development and job creation. And in these times of economic crisis, we all need to care about economic productivity and how reducing intergenerational poverty benefits us all.
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