By Christina B. Farnsworth

Why is California's housing least affordable? "Local fees add a staggering $64,320 to the cost of every new single-family home in Danville in the San Francisco Bay area," says Mick Pattinson, president of San Diego-based Barratt American and the newly elected president of the California BIA. Fees for a 900-square-foot apartment total $27,285 a unit. And for a 600-square-foot guesthouse on a lot with an existing home, $33,355. Water and schools exact the largest fees.

New-Home Fees

Below are some of the fees assessed a new single-family home built in Danville, Calif.:

  • water service connection--$21,095
  • school construction and modernization--$14,827
  • building permit plan checks and inspections--$8,376
  • parks, off-site transportation improvements, childcare facilities, and storm-water runoff mitigation--$4,652
  • sewer hookups--$4,500