Why You Can't Afford a Home (It's Not Just Inflation)

The American housing crisis is often blamed on inflation, but history and local policy suggest a more structural cause. We analyze why the average family now spends a third of their budget on housing, a sharp increase from 23% in 1901. While interest rates often dominate the conversation, stricter city regulations on building density and height have fundamentally restricted supply. This shift has prevented new construction from meeting demand, leaving many urban areas struggling to accommodate growth. By examining the current low rental vacancy rate, we can identify how specific zoning mandates contribute to the broader economic strain. This breakdown questions who is truly responsible for the state of American cities and whether the legislative framework governing development can be adapted to lower costs. Subscribe for weekly urban policy breakdowns, and let us know in the comments if you think zoning reform is the key to fixing affordability.