Regulations imposed by all levels of government make up 23.8% of the current average sales price of a new single family home, according to an analysis by the National Association of Home Builders.
That percentage equates to $93,870 of regulatory costs within the average price—$397,300—of a new home. The data show a 10.9% increase in regulatory costs compared with 2016, according to NAHB. Of the $93,870, $41,330 is attributed to regulation during development, and $52,540 is attributable to regulation during construction.
NAHB reported earlier this month that soaring lumber prices have added $35,872 to the average price of a new home.
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