There is no doubt that in many parts of the country, the term “starter house” means entering a bidding war where the starting point in California is $440,000 and the median cost is about $800,000. Could it be due to, in California, a Code of Regulations on housing is over 21,000,000 words in length, or because all new houses must have solar panels which add about $8,000 or more to each new house? Of course not, as the government, both State and Federal are there to “solve” the housing problem. We might very well have a housing problem because of the State and Federal regulations which aim at taking away local control of housing and centralizing all decisions by bureaucrats far from those who lives they attempt too “better.”
A house problem is typical of problems in other parts of our nation. Someone, somewhere in the government believes there is a problem that they can solve. An energy problem? Don’t create more energy, hinder the existing energy source and demand the expansion of heavily taxpayer subsidized and irregular energy sources. Not enough housing? Create a law which allows established single-family neighborhoods to be invaded by contractors who can purchase a house, tear it down and replace it with a two- or four-unit building. Not enough street parking for the new multiple family unit? Let them eat cake and take inefficient and heavily taxpayer subsidized public transportation. The government creates a problem, creates a solution which fails, and then demands more tax monies to create more government to solve the problem they helped to create.
The link below is a good example of policies which raise the cost of low-cost housing; not only are costs raised to the consumer, but the return on investment may never be realized. It does not matter what the market needs or what consumers want, what is offered is an all-seeing, all knowing, all wise government solution which damages the very product which can help to solve a problem that constantly faces new regulation by the government. And, as the problem is never really solved, what is needed is a larger, better government department to solve the problem. Does anyone ever believe that we will see a day when a government department is deemed redundant and shut down?
https://www.city-journal.org/energy-regulations-to-increase-cost-of-mobile-homes
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