06/19/2026
https://www.foxbusiness.com/economy/government-regulations-add-132k-new-home-costs
Should anyone really be surprised that we can't build affordable starter homes for the next generation of Connecticut residents?
According to a new analysis highlighted by Fox Business, government regulations now add an average of $132,000 to the cost of a new home nationwide—more than 26% of the final sales price. That's before a family even picks out cabinets, countertops, or flooring.
These are national numbers, but Connecticut's housing challenges are even more severe.
Recent Realtor.com and Stateline analyses have consistently placed Connecticut near the bottom of the nation when it comes to housing affordability and housing production. Despite some recent progress, our state continues to struggle with high construction costs, restrictive land-use policies, lengthy approval processes, and an insufficient housing pipeline. Connecticut recently received a failing grade in Realtor.com's housing report card and ranked among the nation's "stagnant bottom" states for housing affordability and production.
At the HBRA of CT, we've spent years advocating for common-sense reforms that reduce unnecessary costs, improve predictability, streamline approvals, and encourage housing production. If we are serious about creating homeownership opportunities for young families, first-time buyers, and the workforce Connecticut employers desperately need, we must confront the cumulative impact of regulations on housing affordability.
Every new mandate, delay, fee, and requirement may seem small in isolation. Together, they are helping price an entire generation out of the American Dream.
A new NAHB report estimates federal, state and local regulations account for more than one-quarter of the price of a newly built single-family home.
