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Tuesday, November 26, 2024

Arizona Legislature approves bill aimed at reducing housing costs

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Warren Petersen, Senate President Legislative District 14 | clubforgrowthfoundation.org

Warren Petersen, Senate President Legislative District 14 | clubforgrowthfoundation.org

The Arizona Legislature has passed a bill aimed at making homeownership more affordable for residents. The "Arizona Starter Homes Act" is designed to address the significant increase in housing prices, which have risen by over 50% since January 2020. The current median home sale price in Arizona stands at $430,000.

A primary factor contributing to these high prices is a shortage of approximately 270,000 housing units in the state. To tackle this issue, the new legislation seeks to ease construction costs and regulatory constraints that developers face when building new homes.

Sponsored by Senate Majority Leader Sonny Borrelli and House Majority Leader Leo Biasiucci, the bill prohibits cities and towns from imposing certain requirements on homebuyers, such as costly amenities or homeowners associations (HOAs). It also limits municipal regulations on aesthetic features like paint color and roof design. Additionally, it allows homes to be built on smaller lots by restricting minimum lot sizes above 1,500 square feet in larger subdivisions within cities with populations exceeding 70,000.

Senator Borrelli expressed optimism about the impact of the legislation: "Hardworking Arizonans are finding it increasingly difficult to purchase their first home and begin their pursuit of the American dream. This legislation is a step in the right direction in bringing prices down by eliminating some of the restrictive government red tape and expensive regulatory constraints being passed onto homebuyers."

He further criticized local municipalities for overstepping their authority: "Government should do everything in its power to make the lives of our citizens better, but local municipalities are overstepping their authority by trying to control private property rights."

Borrelli concluded with anticipation for gubernatorial action: "The Arizona Starter Homes Act is a no-brainer, and I'm encouraged it received bipartisan support. I look forward to the Governor taking appropriate action on behalf of our citizens' lives and livelihoods by signing this bill into law."

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