Affordable Housing Mandates Backfire

Do affordable housing mandates work? A new report by the Reason Foundation argues that they actually cause housing prices to rise.

1 minute read

April 17, 2004, 5:00 AM PDT

By Chris Steins @planetizen


Cities across the country are implementing affordable housing mandates that require developers to sell a percentage of new homes at prices below market value. A new Reason report examining these mandates in 45 Bay Area cities finds that they are actually causing new home construction rates to plummet by 31 percent and housing prices to rise by as much as $100,000.

Thanks to Chris Steins

Tuesday, April 13, 2004 in Reason Public Policy Institute

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