Economist Steve Moore’s comments on CNBC’s “Squawk Box” shine a light on a pressing issue in America: the housing price crisis. He argues that eliminating local and state zoning restrictions is key to solving this problem. Moore contends that removing these restrictions could lead to an increase in the construction of new homes, making it easier for more Americans to purchase property.
Moore highlights the current housing market’s difficulties, illuminating how rising prices have hindered many, especially young adults, from becoming homeowners. He emphasizes, “Yes, housing is expensive today. But for every time that the value of a house goes up, that can be a positive for the economy.” This perspective suggests that rising home values aren’t purely negative; they play a crucial role in building personal wealth for individuals, particularly those like Moore, who have significant equity in their homes.
According to Moore, a balance is necessary. He insists, “If you want to see prices crash for the homes, that’s not going to be a very good thing.” His assertion shows a nuanced understanding of the housing market’s dynamics—focusing not just on affordability but also on maintaining economic stability through rising home values. He advocates for increased supply to alleviate pressure on prices while retaining the benefits of a rising market.
The topic of zoning laws adds complexity to this issue. Many economists argue that these restrictions, often labeled as “red tape,” not only drive up housing prices but also stifle economic growth. The endorsement of deregulation from Trump’s administration aligns with Moore’s viewpoint. Officials have claimed that regulatory changes will streamline home construction processes and encourage states to lower barriers to building.
Conversely, proponents of zoning restrictions argue they help maintain neighborhood quality and protect existing homeowners’ property values. This tension between growth and protection illustrates the challenges lawmakers face in addressing the housing market’s multifaceted nature.
Statistics underscore the severity of the situation. The National Association of Realtors notes that the median age for purchasing a home has climbed to an all-time high of 40 years old by 2025. This figure reveals a significant delay in homeownership compared to previous generations, prompting concerns about the direction of America’s housing market.
As President Trump prepares to propose housing reforms in 2026, these discussions will gain even more relevance. If Moore’s suggestions on zoning policies are considered, the results could reshape the future of homeownership in America, providing a path toward greater accessibility for families across the nation.
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