A kerfuffle is brewing in Georgia over government imposed design requirements beyond the building code that raise the cost of new homes. The Albany Herald reports:
In Georgia, local jurisdictions throughout the state have begun creating and enforcing residential design standards for new home construction, effectively creating a city- or countywide Home Owners Association. These restrictions range from requiring particular design techniques (like basements, porches or complex roof structures) to prohibiting certain building materials (like vinyl windows or vinyl siding). Regulations may include how windows are spaced, where garages are located, whether slabs must be elevated or even allowed, and other aesthetics of exterior design. They may require certain building materials, while prohibiting others. In most cases, the additional restrictions increase costs for the home buyer, according to the Home Builders Association of Georgia.
“We believe this new example of over-reaching big government hurts entry-level home buyers the most,” HBAG President Jim Brown said in a news release. “Local design mandates artificially increase the cost of new homes above what a healthy market can support. A builder or developer creates a product to respond to market demand — using licensed residential architects, landscape professionals and housing market experts to design a home that will be attractive to many home buyers. These design mandates exist outside the realities of the housing market.”
A recent study published by the National Association of Home Builders shows how raising the price of a new home by just $1,000 can “price-out” some home buyers, making them unable to purchase a new home. The median new home price in Georgia for 2019 is $318,739. Using standard underwriting criteria, a household income of $86,475 is required to buy this average house. For every $1,000 that median price increases, 5,783 more Georgians are unable to pursue the American Dream of home ownership. If government-mandated design requirements add $30,000 in cost to the price of a new home, then 173,490 hard-working Georgians who could have afforded to buy that house for their families are no longer able.
