Headlines across the country are highlighting the challenge of housing affordability. According to estimates from The National Association of Home Builders, more than three out of four (76.9%) U.S. households cannot afford a median-priced new home. In response, members of the residential construction industry continue to advocate for housing policies that will improve affordability in our community.
The value Americans place on owning their home continues even through challenging times. According to a recent Federal Reserve Bank of New York survey, more than two-thirds (67%) of Americans say that housing is a good investment. The sentiment among Americans is no surprise, as homeownership offers an opportunity for households to accumulate assets and build wealth over time through equity.
Each June, home owners and home builders celebrate National Homeownership Month, bringing attention to the nearly two-thirds (65%) of Americans who own their homes and the millions more who aspire to become home owners. Now more than ever, builders in our community are speaking up about housing affordability challenges so more families can have a place to call their own.
With a nationwide shortage of 1.5 million housing units, the lack of homes is the primary cause of growing housing affordability challenges. There is no single “silver bullet” solution to address the housing shortfall and make homes more affordable. A complex equation involving labor and materials prices; interest rates and financing costs; federal, state and local regulations; density and growth restrictions; and supply and demand are among many factors that determine housing costs. The effort requires comprehensive strategies and a variety of tools that can be used alone or in combination to reduce costs, boost supply, and empower aspiring home buyers in our community.
For example, the Pennsylvania Builders Association is advocating for various housing policy solutions, so that owning or renting a suitable home is within reach for families in our community. One way of boosting the supply of housing available in our area is by working with local elected officials to move away from rigid zoning laws which prevent where and how many new homes can be built. For example, reducing minimum lot sizes, allowing more accessory dwelling units and prioritizing development around existing or planned transit stations can increase supply and lower overall housing costs.
Another approach to solving our community’s housing affordability crisis is investing in skilled trades training. Despite the competitive pay, the residential construction industry continues to experience labor shortages, which leads to higher home building costs and construction delays. If lawmakers support funding for building and construction trades education and provide more job placement services, it will help meet the labor 
demands in our area.
Alleviating regulatory burdens and making sustained investments in workforce development are a snapshot of several issues our association and the National Association of Home Builders are advocating for to make the dream of homeownership a reality.
For more information about homeownership in our community find your local home builders association HERE.