Old Regulations Squeeze the Southern California Housing Market
Restrictive anti-growth policies from the 1980s continue to affect the Los Angeles market, preventing a new generation of Californians from finding affordable housing.
The regulations were a reaction to the influx of jobs and development that the state saw in the 80s, spurred the growth of the aerospace industry and the birth of the personal computer. Adult migration caused a population increase of 26 percent in the decade, according to Bloomberg. Locals opposed the growth, and looking to slow development, voted in a number of strict housing regulations.
Thirty years later, the Los Angeles metro area has bounced back from a long period of recession and subdued growth. But as the large native-born population of California millennials are increasingly coming of home buying age, the old regulations have left them with few options.
If California doesn’t want to turn into an expensive retirement village, it needs to make room for its children.
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