Editorial: Housing options

For politicians, affordable housing is sort of like the weather. They all love to talk about it, but few of them do anything about it.

To make matters worse, those who actually attempt to attack the problem usually only make things worse.

A new study reveals that communities could implement a few easy reforms to encourage developers to keep up with housing demand in areas where new construction lags.

“Ultimately, what really matters for builders, what really impacts them, is the delay,” Ralph McLaughlin, economist for real estate tracker Truila, told the Wall Street Journal.

The “delay” Mr. McLaughlin cites refers to roadblocks builders encounter when they seek permits for new construction. “The study finds that in metro areas with longer delays in building and zoning approvals, developers are less quick to respond with new housing units,” the Journal reported Monday. In other words, red tape matters.

The study found that Las Vegas has relatively modest barriers — delays averaged four months — and is among metropolitan areas that have “been able to meet rising demand with additional housing units over the past 20 years,” the newspaper concluded. Not surprisingly, places such as New York City and San Francisco, where builders may have to wait a year or more for municipal approval, if it ever comes, have seen housing prices soar beyond the reach of even upper-middle class families.

“If builders know that it’s going to take them a year to a year-and-a-half, they’ll just say, ‘We’re not going to build,’ ” Mr. McLaughlin said.

The Journal reports that U.S. housing starts are 30 percent below the previous 30-year average. For many markets, an increase in housing stock would not only stabilize prices, it would increase housing options for families at all income levels.

Elected officials, urban planners and housing advocates often agitate for heavy-handed, coercive mandates and fees on builders to prod them to include affordable housing in their developments. Perhaps simply clearing the regulatory thicket and streamlining the bureaucracy offers a more promising and efficient approach.