Government regulations are adding nearly $132,000 to the cost of newly built houses, according to a new report released as Americans struggle to become homeowners. The findings that more than one-quarter of the final prices of newly constructed homes come as housing affordability remains a top concern nationwide, with elevated mortgage rates and limited inventory putting homeownership out of reach for many families.

Regulatory Costs Rise 40% Since 2021

The National Association of Home Builders (NAHB), which commissioned the report, argues that regulations imposed by federal, state and local governments have become a major driver of the nation’s housing shortage and affordability challenges. The study found regulations add an average of $131,734 to the cost of a newly built home, representing 26.4% of the final sale price.

NAHB President and CEO Jim Tobin told Fox News Digital that regulatory costs vary across the country, with states in the Southeast, including Texas, Florida and the Carolinas, generally maintaining a lower-cost regulatory environment than states such as California, New York, New Jersey and Illinois. Tobin said he expects regulatory costs to continue rising, but believes policymakers can help slow the pace through reforms.

Original reporting: Fox News (HLL/CB) — read the source article.