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The article says that single family zoning rules are causing the shortage that drives up the price we're seeing right now. So they argue that the solution is to

The article says that single family zoning rules are causing the shortage that drives up the price we're seeing right now. So they argue that the solution is to open up those restrictions so that more multi-unit buildings can be built and that this will "break the restrictions on homeownership in America." Multi-unit buildings are overwhelmingly more common to be rentals than occupant-owned condos, so how is this a solution that actually increases people's ability to own their homes? Seems like its just a bait-and-switch in favor of landlords.

mdorazio 6y ago
More units available means lower rental prices (in general), which means renters should be able to save more money to purchase a home later. There's a big assumption baked in there that condos & houses don't get snapped up by existing landlords or rise in price faster than the savings rate of renters. But that's the thinking.
burlesona 6y ago
It would be a lot easier and more marketable to take the more run down single family homes that have become too expensive for most people and do rebuilds that turn that lot into two homes. The financial model for a developer is easier too, you do the transaction and you’re done, as opposed to needing to be a landlord for a long time, or find just the right kind of investor to buy a 4-unit apartment (which is really rare). There is an entire spectrum of housing types that are generally referred to as the “missing middle,” which are common in old cities and European cities but virtually non existent in post-ww2 America. That’s what removing or relaxing single family zoning should allow.
pbronez 6y ago
I saw some analysis a while back that said 2-3 story garden apartments are the most economically and environmentally sound level of density to shoot for. Would be neat to see those available as condos. You could double or triple density without pricing people out or creating urban environmental problems.
- MuffinFlavored 6y ago
  > I saw some analysis a while back that said 2-3 story garden apartments A big part of the "American dream" of homeownership (for me at least) is to not have any connected walls to anybody else (no condo, no apartment, no townhouse). I am going to guess a lot of people feel similar to me. 2-3 story garden apartments might be efficient, but I am willing to bet a lot of families selfishly want a single family home.
  - woah 6y ago
    Then they will need to get used to driving 3 hours a day
woah 6y ago
Why would someone want to own a home? 1. Tap into an ever-rising, yet completely safe investment asset with massive leverage. 2. You can get more space owning than you can renting. 3. You have more certainty (can't be evicted, etc) 4. You enjoy home improvement as a weekend hobby. 1, 2 and 3 are ponzinomics. 1. This is obvious, and the main factor. It is only true because of the artificially constrained housing supply. Without this artificial scarcity, housing wouldn't increase in price any more than copper or pork bellies. Spending all of your net worth and going deep into debt to invest in a single pig farm would be considered very foolish and undiversified. Investing in a single housing property would be the same without the artificial market distortion. Existing homeowners have created this market distortion by pushing through ever-tighter zoning regulations at the local level. They are always ranting about conspiracies of "landlords" and "developers". Businesses that increase the housing supply are their natural enemy. 2. This is related to the factor above. You can't really get more space buying than renting, you just feel that it is safer to spend a large portion of your income on a mortgage since it's such a "safe investment". 3. Eviction wouldn't be an issue in a market with sufficient supply. Your rent wouldn't go up any faster than inflation, and might even go down. A landlord wouldn't want to evict you any more than a business would want lose you as a customer. 4. I guess I will have to concede that renting is a worse option for hobbyist carpenters.
- ryandrake 6y ago
  I think you're really missing the mark on 4. This is not about enjoying home improvement as a hobby, it's about being allowed to improve your own living conditions. I can do whatever I want with my property, within building codes, without having to ask a landlord. Want to knock down a wall, upgrade the stove to gas, build a shed in the backyard? You have the freedom. If my faucet is leaking, I don't have to beg someone to send a plumber.
  - thirtyseven 6y ago
    Try owning in SF, where it's impossible to get a plumber to come out for a small job, but a big enough landlord will have a guy that can come reasonably quickly.
- 6y ago
stonkdonk 6y ago
Yeah I don't get it. People want to buy a home so that they have more space and privacy, including outdoor space. Sure, some condos have roof decks, balconies, or shared yards, but so do rentals.

mdorazio 6y ago

More units available means lower rental prices (in general), which means renters should be able to save more money to purchase a home later. There's a big assumption baked in there that condos & houses don't get snapped up by existing landlords or rise in price faster than the savings rate of renters. But that's the thinking.

burlesona 6y ago

It would be a lot easier and more marketable to take the more run down single family homes that have become too expensive for most people and do rebuilds that turn that lot into two homes. The financial model for a developer is easier too, you do the transaction and you’re done, as opposed to needing to be a landlord for a long time, or find just the right kind of investor to buy a 4-unit apartment (which is really rare). There is an entire spectrum of housing types that are generally referred to as the “missing middle,” which are common in old cities and European cities but virtually non existent in post-ww2 America. That’s what removing or relaxing single family zoning should allow.

pbronez 6y ago

I saw some analysis a while back that said 2-3 story garden apartments are the most economically and environmentally sound level of density to shoot for. Would be neat to see those available as condos. You could double or triple density without pricing people out or creating urban environmental problems.

MuffinFlavored 6y ago
> I saw some analysis a while back that said 2-3 story garden apartments A big part of the "American dream" of homeownership (for me at least) is to not have any connected walls to anybody else (no condo, no apartment, no townhouse). I am going to guess a lot of people feel similar to me. 2-3 story garden apartments might be efficient, but I am willing to bet a lot of families selfishly want a single family home.
- woah 6y ago
  Then they will need to get used to driving 3 hours a day

woah 6y ago

Why would someone want to own a home? 1. Tap into an ever-rising, yet completely safe investment asset with massive leverage. 2. You can get more space owning than you can renting. 3. You have more certainty (can't be evicted, etc) 4. You enjoy home improvement as a weekend hobby. 1, 2 and 3 are ponzinomics. 1. This is obvious, and the main factor. It is only true because of the artificially constrained housing supply. Without this artificial scarcity, housing wouldn't increase in price any more than copper or pork bellies. Spending all of your net worth and going deep into debt to invest in a single pig farm would be considered very foolish and undiversified. Investing in a single housing property would be the same without the artificial market distortion. Existing homeowners have created this market distortion by pushing through ever-tighter zoning regulations at the local level. They are always ranting about conspiracies of "landlords" and "developers". Businesses that increase the housing supply are their natural enemy. 2. This is related to the factor above. You can't really get more space buying than renting, you just feel that it is safer to spend a large portion of your income on a mortgage since it's such a "safe investment". 3. Eviction wouldn't be an issue in a market with sufficient supply. Your rent wouldn't go up any faster than inflation, and might even go down. A landlord wouldn't want to evict you any more than a business would want lose you as a customer. 4. I guess I will have to concede that renting is a worse option for hobbyist carpenters.

ryandrake 6y ago
I think you're really missing the mark on 4. This is not about enjoying home improvement as a hobby, it's about being allowed to improve your own living conditions. I can do whatever I want with my property, within building codes, without having to ask a landlord. Want to knock down a wall, upgrade the stove to gas, build a shed in the backyard? You have the freedom. If my faucet is leaking, I don't have to beg someone to send a plumber.
- thirtyseven 6y ago
  Try owning in SF, where it's impossible to get a plumber to come out for a small job, but a big enough landlord will have a guy that can come reasonably quickly.
6y ago

stonkdonk 6y ago

Yeah I don't get it. People want to buy a home so that they have more space and privacy, including outdoor space. Sure, some condos have roof decks, balconies, or shared yards, but so do rentals.