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Before the Housing Bubble burst in 2008, a colleague moved into a brand-new home in the exurbs. A few months later, I asked how he liked his neighbors.
“No idea,” he said. “They all live in California.”
Like many new developments back then, speculators gobbled up much of the new housing to resell later and, maybe, rent in the meantime.
Things haven’t changed a lot since. In Maricopa County alone, 26% of houses are used seasonally or are owned by outside investors.
Arizona is nearly 270,000 housing units short of demand, according to the state Department of Housing, thanks in part to zoning rules, NIMBY opposition and general red tape.
2 bipartisan bills will help housing
That’s a far sight better than California’s shortage of 3.5 million residences, but it’s still far too high. Unlike our neighbor to the west, Arizona is doing something to fix it.
Republicans and Democrats united to pass two bipartisan bills signed by Gov. Katie Hobbs this week.
House Bill 2720 legalized casitas or accessory dwelling units, while House Bill 2721 encouraged a diversity of housing instead of just single-family homes.
This is an ideal solution for many families supporting their older parents, as well as adult children who strive for more autonomy but can’t afford a place of their own. It also cuts through the tangled rules that vary greatly depending on the city or housing development.
But it’s not just for relatives.
The new law allows non-family members to occupy the casita and doesn’t require a kitchen, additional parking or other cosmetic requirements. The legislation only applies to cities with more than 75,000 residents.
Arizona needs more 'middle housing'
In an era of inflation and soaring interest rates, these “middle housing” options offer relief to many would-be residents. Casitas will increase the housing supply within established neighborhoods, reducing the need for long travel times and the expanded freeways they require.
At the same time, it avoids the need for new land development farther and farther out from city centers. The effort can improve neighborhood cohesion, the stability of extended families and workforce shortages.
Why we can't build:Houses that most of us can afford
And it accomplishes all this without creating some elaborate new government program. The free market can better handle initiatives like this; it only requires government to step out of its way.
The new laws also serve a need voters have demanded. According to a poll by the Center for the Future of Arizona, housing affordability is a crucial issue with strong bipartisan support.
About 4 out of 5 voters said rents and home prices were too high, and that state and local governments should ensure affordable housing was available to middle- and low-income earners.
Most striking is that respondents wanted less expensive options in own their communities, not just on the other side of town or across the state.
Let's see more bipartisan problem solving
Middle Housing, whether in the form of casitas, duplexes or cottage courts, fit seamlessly into existing neighborhoods, and were common in U.S. cities before zoning changes in the 1940s. Their time has come again.
Upon signing the bills, Hobbs said, “I’m glad the Legislature heard my calls to come to the table to pass commonsense, bipartisan legislation that will expand housing options and help mitigate the effects of rising costs to make life more affordable for everyday Arizonans."
Rep. Michael Carbone, a Republican representing portions of Maricopa and Yuma counties, agreed. “Our children and grandchildren can’t afford to live in the communities that they grew in,” he said. “Most Arizonans have been priced out of the housing economy — it’s wrong and un-American.”
Imagine that: Arizona Democrats and Republicans working together to fix a problem that vast majority of voters are concerned with. More of this, please.
Jon Gabriel, a Mesa resident, is editor-in-chief of Ricochet.com and a contributor to The Arizona Republic and azcentral.com. On X, formerly Twitter: @exjon.
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