'Affordable' Housing Laws Make Homes More Expensive
Economic Education Bulletin, Vol. 28, No. 12, pp. 1-8, December 2003
8 Pages Posted: 18 Sep 2010
Date Written: 2003
Inclusionary zoning ordinances are not an effective way of making housing more affordable. Inclusionary zoning is nothing more than a price control. By diminishing incentives for landowners to provide land for housing and incentives for builders to undertake projects, inclusionary zoning restricts the supply of housing. This drives up the price of all other market-priced homes and makes housing less affordable. Even the few families who do get the price-controlled units do not receive the full benefits of homeownership since their potential appreciation is limited.
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