Very Simple Solution to Houston’s Housing Problems

Price and Kaplan discuss how home prices in Houston are experiencing rapid growth. One often overlooked factor contributing to this trend is the cumbersome permit process within the city. This process introduces additional costs, resulting in a reduction of new homes being constructed and ultimately leading to higher prices and reduced availability. The primary beneficiaries of this situation are major cities aiming to lure residents away from Houston, as well as the surrounding cities where individuals opt to reside while still working in the city. Additionally, this scenario negatively impacts the city’s tax base.

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