Do Restrictive Land Use Regulations Make Housing More Expensive Everywhere?

2021 ◽  
pp. 089124242110435
Author(s):  
John Landis ◽  
Vincent J. Reina
Keyword(s):  
Land Use ◽  
Metropolitan Areas ◽  
Housing Prices ◽  
Housing Values ◽  
Land Use Regulations ◽  
Single Region ◽  
Home Value ◽  
Regulatory Measures ◽  
Home Values ◽  
Regulatory Measure

This study makes three contributions to the debate over the effect of local land use regulations on housing prices and affordability. First, it is more geographically extensive than previous studies, encompassing 336 of the nation's 384 metropolitan areas. Second, it looks at multiple measures of regulatory stringency, not just one. Most prior studies have focused either on a single regulatory measure or index across multiple metropolitan areas, or multiple regulatory measures in a single region. Third, this paper considers the connection between regulatory stringency and housing values as a function of employment growth and per-worker payroll levels. We find that restrictive land use regulations do indeed have a pervasive effect on local home values and rents, and that these effects are magnified in faster-growing and more prosperous economies. We also find more restrictive land use regulations are not associated with faster rates of recent home value or rent growth, and that their effects on housing construction levels—that is, the degree to which they constrain supply—is uneven among different housing markets.

Do Higher Land Costs for New Single-Family Housing Inhibit Economic Activity in U.S. Metropolitan Areas?

2021 ◽  
pp. 089124242110061
Author(s):  
Robert W. Wassmer
Keyword(s):  
Land Use ◽  
Economic Activity ◽  
Metropolitan Areas ◽  
Single Family ◽  
Best Interest ◽  
Residential Land ◽  
Land Use Regulations ◽  
Panel Data Regression ◽  
Data Regression ◽  
Residential Land Use

The price of a new home is greater if the land to put it on costs more. In many U.S. metropolitan areas, this generates the widely acknowledged equity concern that low- to moderate-income households spend disproportionately on housing. But high residential land prices translating into high single-family home prices may also generate the efficiency concern of discouraging new workers’ entry into such areas or encouraging existing workers’ exit. The result could be a decrease in economic activity. This research offers panel-data regression evidence in support of the existence of this adverse outcome. Perhaps these findings can raise the saliency of the needed state or federal government intervention to curtail the stringency of local residential land-use regulations. NIMBYs see these land-use regulations as in their jurisdiction’s best interest, but as demonstrated here, such restrictions impose additional metro-wide economic concerns.

“Race and Housing Values: What Happens When Whites Don't All Move Out?”

2018 ◽  
Vol 17 (1) ◽  
pp. 109-133 ◽  
Author(s):  
Richard Moye ◽  
Melvin Thomas
Keyword(s):  
Predominantly White ◽  
Residential Segregation ◽  
Negative Impact ◽  
Housing Prices ◽  
Racial Diversity ◽  
Housing Values ◽  
Black Neighborhoods ◽  
White Neighborhoods ◽  
Home Value ◽  
Black Residents

Previous research on neighborhood racial composition and housing values has demonstrated that as the proportion of Black residents in a neighborhood increases housing values lag. In this paper, we investigate whether there are neighborhood types or locations where racial diversity does not have a negative impact on housing values. This research contributes to the study of residential segregation by focusing on stable integrated neighborhoods. Using metropolitan Philadelphia as a strategic case, we compare stable, integrated neighborhoods to racially transitioning neighborhoods and predominantly White and Black neighborhoods. To do this, we comparatively examine housing prices and rates of home value appreciation from 1990 to 2005. We find that stable integrated neighborhoods have rates of appreciation slightly higher than predominantly White neighborhoods.

scholarly journals The Characteristics of Green Belts Land-Use Regulations in Seoul Metropolitan Areas

2002 ◽  
Vol 17 (1) ◽  
pp. 85-96
Author(s):  
Eun-Sook Kang
Keyword(s):  
Land Use ◽  
Metropolitan Areas ◽  
Market Competition ◽  
Implementation Process ◽  
Land Use Regulation ◽  
Economic Traits ◽  
Land Use Regulations ◽  
The Status ◽  
Political Economic ◽  
Green Belts

Korean Green Belts, or Restricted Development Zones (RDZs), have been well established system for three decades. This system however has been rapidly deregulated since the announcement of the RDZs Policy Reform. This article examines the characteristics of land use regulation on Green Belts in Seoul Metropolitan Areas (SMA). To achieve this goal, this article investigates criteria: theoretical foundation; objects regulated; relations to market competition; and political-economic traits to distinguish economic regulations from social ones. Second, it reviews the status of RDZs in the SMA and the contents of recent rezoning. Third, it examines the characteristics of land-use regulations on Green Belts according to the above criteria. Finally, it presents three principles to preserve environmental values of Green Belts during the implementation process.

scholarly journals An Index to Characterize the Multi-Dimensional Nature of Land Use Regulations in the Greater Houston Metropolitan Area

REGION ◽  
2018 ◽  
Vol 5 (1) ◽  
pp. 17-32
Author(s):  
Luis Estevez
Keyword(s):  
Land Use ◽  
Housing Prices ◽  
Real Income ◽  
Housing Affordability ◽  
Regulatory Environment ◽  
Data Set ◽  
Land Use Regulations ◽  
Statistical Correlations ◽  
Unique Data ◽  
Main Factors

Abstract Although housing prices and the lack of real income growth are cited as the main factors behind the housing affordability problem, it has been proven that land use regulations have some responsibility as well. Indices have been the most common indicator used to characterize the stringency of local land use regulations; however, these studies focus primarily on those most stringent regulatory environments, and therefore there is no evidence of the validity of such indices in areas regarded as less stringent. In response to this lack of evidence, using a unique data set this article presents an index characterizing local regulatory environments in a well-known less stringent regulatory environment: the Houston-Galveston Area in Texas. This index proves to be a valid measure capable of capturing the multi-dimensional nature of land use regulations. The analysis of the index and statistical correlations validate the use of indices to characterize metropolitan land use regulations.

Zoning and affordability: A reply to Rodríguez-Pose and Storper

Urban Studies ◽  
2020 ◽  
pp. 004209802091033 ◽  
Author(s):  
Michael Manville ◽  
Michael Lens ◽  
Paavo Monkkonen
Keyword(s):  
Land Use ◽  
Metropolitan Areas ◽  
Housing Prices ◽  
Housing Affordability ◽  
Housing Construction ◽  
Land Use Regulation ◽  
Housing Production ◽  
Housing Density ◽  
The Poor ◽  
Housing Outcomes

Would increasing allowable housing densities in expensive cities generate more housing construction and make housing more affordable? In a provocative article, Andrés Rodríguez-Pose and Michael Storper survey the evidence and answer no. Restrictions on housing density, they contend, do not substantially influence housing production or price. They further argue that allowing more density in growing metropolitan areas would only improve housing outcomes for the affluent, and most likely harm the poor. We take issue with both of these contentions. While uncertainties remain in the study of housing prices and land use regulation, neither theory nor evidence warrant dispensing with zoning reform, or concluding that it could only be regressive. Viewed in full, the evidence suggests that increasing allowable housing densities is an important part of housing affordability in expensive regions.

Home Is Where the Internet Is? High-speed Internet’s Impact on Rural Housing Values

2020 ◽  
Vol 43 (5) ◽  
pp. 501-530 ◽  
Author(s):  
Kelsey L. Conley ◽  
Brian E. Whitacre
Keyword(s):  
Personal Development ◽  
High Speed ◽  
Housing Prices ◽  
Federal Communications Commission ◽  
Hedonic Price ◽  
Price Model ◽  
Housing Values ◽  
Rural Housing ◽  
Home Value ◽  
The Impact

The deployment of faster household Internet speeds enables new opportunities for entertainment, social interaction, and personal development, and many consider such access an essential component of everyday life. However, rural residents face lower availability, slower speeds and limited provider options, putting them at a disadvantage when compared to their urban counterparts. Connected rural households, especially those with higher speeds, may experience a premium on their home value. Data from the National Broadband Map, the Federal Communications Commission, and over 2,700 housing transactions from June 2011 to June 2017 are used to examine the impact of broadband availability on housing values in two rural Oklahoma counties via a hedonic price model. The results find no support for the existence of a broadband premium, and stress that differences across counties are crucial in assessing rural housing prices.

Land-Use Regulations and Urban Growth of African Americans

2021 ◽  
pp. 089124242110322
Author(s):  
Xi Yang
Keyword(s):  
Land Use ◽  
African Americans ◽  
Urban Growth ◽  
Metropolitan Areas ◽  
Labor Demand ◽  
Census Bureau ◽  
Racial Groups ◽  
Land Use Regulations ◽  
Heterogeneous Effects ◽  
Housing Costs

Land-use regulations can restrict urban growth by increasing housing costs. This article investigates the heterogeneous effects of land-use regulations among different racial groups. It uses U.S. Census Bureau data from 202 U.S. metropolitan areas from 1980 to 2010 to investigate how land-use regulations affect changes in the share of African Americans in response to local economic demand. The research finds that highly regulated metropolitan areas experienced a much smaller increase (sometimes a decrease) in the share of African American workers in response to an increase in local labor demand. These results suggest that land-use regulations can restrict the urban growth of African Americans in areas with demand.

Land Use Regulations and Housing Markets in Large Metropolitan Areas

2004 ◽  
Vol 15 (1) ◽  
pp. 55-79 ◽  
Author(s):  
Xifang Xing ◽  
David Hartzell ◽  
David Godschalk
Keyword(s):  
Land Use ◽  
Metropolitan Areas ◽  
Housing Markets ◽  
Land Use Regulations
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