Regulations Comprise 40% of Apartment Development Costs, NAHB Research Reveals
Originally published on June 9, 2022, by Elizabeth Thompson and Stephanie Pagan for NAHB.
Regulation imposed by all levels of government accounts for an average of 40.6 percent of multifamily development costs, according to new research released today by the National Association of Home Builders (NAHB) and the National Multifamily Housing Council (NMHC).
“The U.S. is facing a serious housing affordability crisis, in part, because of this overly burdensome regulatory environment,” said Doug Bibby, NMHC President. “We need to do all we can to lower the cost of housing, and that should start with eliminating duplicative and unnecessary regulations. Those extra costs make many projects financially unviable given that housing providers are already dealing with sky-high land, materials and labor costs.