Home builders warn 2021 Michigan Residential Code will raise construction costs, push for revised process

The Home Builders Association of Michigan warned the House Subcommittee on Licensing and Regulatory Affairs and Insurance and Financial Services on May 20 that implementing the 2021 Michigan Residential Code will increase the cost of building homes and strain the residential workforce.

“Michigan truly is in a housing crisis,” said Dawn Crandall, executive vice president for government relations at the Home Builders Association of Michigan, in testimony to the subcommittee. Crandall outlined trends in permit activity, labor demographics and materials prices, and described specific provisions in the 2021 code she said would raise costs for builders and homebuyers.

Crandall told lawmakers the state needs roughly 119,000 housing units and is currently underproducing; she said Michigan is projecting about 15,728 single‑family permits in 2025, with 4,542 pulled year‑to‑date as of April. She said national building material prices have risen about 41.6%…