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Utah leads nation in new home construction amid housing debate

September 17, 2024 | Midway, Wasatch County, Utah


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Utah leads nation in new home construction amid housing debate
In a recent government meeting, officials discussed significant developments in Utah's housing market, highlighting the state's leading position in new home construction while acknowledging ongoing affordability challenges. Despite Utah's impressive growth in housing, the meeting underscored the need for potential regulatory changes at both state and federal levels to address these issues.

One key topic was the efficiency of building inspections, with a report indicating that 100% of surveyed cities maintain an average inspection time of less than three days. This finding contradicts previous claims that slow inspections were hindering housing development. The licensing group found no evidence of variability in enforcement among building inspectors, which may shift the focus of future discussions.

The Home Builders Association proposed a new appeals process for building inspector decisions, suggesting that a pool of approved inspectors could be established to expedite disputes. However, many municipalities expressed skepticism, noting that existing appeal processes are rarely utilized, raising questions about the necessity of new systems.

Additionally, the meeting touched on the use of surety bonds as a potential incentive for affordable housing projects. However, concerns were raised about the practicality of this approach, particularly regarding the definition of \"affordable\" housing, with figures cited as unrealistic for many communities.

Looking ahead, the state is preparing for a comprehensive housing plan due in January 2025, which will address various legislative proposals, including accessory dwelling units (ADUs), the impact of investor-owned housing, and short-term rentals on local markets. A land capacity study is also underway to assess infrastructure and zoning capabilities for future housing developments.

As these discussions unfold, stakeholders are keenly awaiting reports from the Gardner Institute and other entities that will further illuminate the dynamics of Utah's housing landscape.

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