The White House has outlined a plan to boost housing availability and lower costs for renters and homeowners. With shelter costs making up almost one-third of CPI, it’s a logical choice for the administration as inflation continues to top almost every poll of voter concerns.
Half of the plan is actually a wish list of ideas that were in Build Back Better legislation that never got close to passing so we will skip that. There is a lot in the proposal so not to bore you to death I’ll point out my two favorite proposals…(White House)
- Property rights. Our obsession with single-family housing is hurting our ability to build housing in the places people want it the most. The Biden admin, through DOT, has already released three funding applications for competitive grant programs totaling nearly $6 billion in funding that reward jurisdictions that have put in place land-use policies to promote density and rural main street revitalization with higher scores in the grant process.
- Removing red tape. This is probably my favorite proposal. Affordable housing development projects often require more than one federal source of funding. Unfortunately, each funding source comes with its own set of requirements and procedures. To reduce transaction costs and duplication, and to speed development, the Administration will make changes to harmonize federal requirements across programs as much as possible. Anytime the government removes red tape I am a happy camper.
There are obviously a lot more ideas in this proposal, but I just wanted to highlight my favorite two. It should also be noted that Biden has lowered some trade barriers to help get more lumber into the country. However, Biden needs to do more. Fewer trade barriers and fewer government regulations and this housing crisis will take care of itself!