Big houses, small houses, we just need (a lot) more houses
Jan 7, 2025
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Jerusalem Demsas, a Staff Writer at The Atlantic specializing in housing issues, and Bryan DeHenau, a seasoned Michigan roofer, delve into America’s housing crisis. They discuss the challenges posed by high interest rates and a lack of diverse housing options. Their conversation highlights the urgent need for policy reforms aimed at creating more multifamily homes, especially for seniors. They also emphasize the importance of overcoming local resistance to build the housing stock that communities desperately need.
The cultural ideal of homeownership in America influences children's perceptions and societal pressures regarding financial stability and housing choices.
Significant policy changes, inspired by successful reforms in New Zealand, are essential for increasing housing availability and addressing the U.S. housing crisis.
Deep dives
The Cultural Significance of Homeownership
Homeownership is portrayed as a critical aspect of adulthood and a marker of financial security in American culture. This ideal shapes childhood perceptions, as children often draw images of single-family homes, regardless of their actual living situations. The narrative emphasizes that owning a home symbolizes control over one’s life and stability, which can present pressures to conform to societal expectations. This cultural framing affects individuals' housing choices and aspirations as they navigate the current housing crisis.
The Current Housing Crisis
The housing market in the United States is strained, characterized by record-high home prices and mortgage rates nearing 7%. With a significant shortfall of homes estimated between 3 to 7 million units, many individuals find the prospect of homeownership increasingly unattainable. This scarcity stems from various issues, including stringent regulations and the waning number of builders in the market, which has dropped dramatically since the Great Recession. As a result, potential buyers face a challenging environment where renting often feels like the only viable option.
Policy Solutions and Inspiration from New Zealand
Addressing the housing crisis requires significant policy changes, including the elimination of parking minimums and reducing lot sizes to allow for more affordable housing developments. The experience of New Zealand serves as an inspiring model, where national-level reforms successfully compelled local governments to increase housing density and availability, leading to decreased rent prices. This highlights that achievable housing solutions exist, contingent upon political will and an approach that prioritizes building homes effectively. The push for new ideas, investment in housing, and a shift in political attitudes toward development could pave the way for addressing the ongoing shortages in the U.S.
There’s a housing crisis in America: high interest rates, not enough homes, and regulations that seem to favor building massive “McMansions” instead of more diverse housing stock. How did we get here, and can we find our way out? Post columnist Heather Long talks to the Atlantic’s Jerusalem Demsas, who’s written a book on the housing crisis, and Bryan DeHenau, a Michigan roofer who sees the struggles in the building industry on the ground every day.