Restoring Homeownership and Property Rights in the American Dream

Editor’s note: This is one installment in a One Small Step series exploring how our founding principles apply to policy change movements. See the series introduction and full collection here. 

This year, America celebrates its 250th birthday – 250 years since the Declaration of Independence guaranteed all Americans the unalienable rights to “life, liberty, and the pursuit of happiness.” Throughout American history, opportunity, dignity, property rights, and homeownership have become key components of achieving the American Dream. Yet, over the past century, excessive government regulations have reduced property rights and made the American Dream harder to fulfill. 

Before the 20th century, there were few local, state, or federal land-use regulations. Americans moved across the country in pursuit of greater opportunities, building homes to that benefited their families in cities from coast to coast. Governments understood that the Constitution protected individual property rights, and largely left decisions regarding property usage and structure up to the property owner. But this all started to change in the early 1900s.   

100 years ago, the Supreme Court decision in Euclid v. Ambler and subsequent actions led to an explosion of restrictive zoning and land-use laws that have proliferated over the past century. Today, states and local governments not only dictate what homes can be built where, but the size of the lots and homes, what color or material the home must be made of, how much parking is required, building height, and more. Excessive permitting requirements further add costs and lengthy delays to projects. These regulations have eroded property owners’ dignity and reduced property rights. 

As regulations have compounded over the decades, zoning and land-use laws have reduced economic opportunity, mobility, and the American Dream of homeownership. The United States currently faces a housing shortage of roughly 6 million homes. Home prices have increased by 150% nationwide since 2012, and the median single-family home now costs five times the median household income. The dream of homeownership remains out of reach for many young families. 

Yet there is hope for the future of the American Dream. Americans for Prosperity is working on solutions to the housing crisis by cutting red tape and getting government out of the way. States across the country are reforming zoning codes, legalizing accessory dwelling units, reducing minimum lot size requirements, expediting permitting processes, and more. AFP’s Roadmap for Housing Reform highlights numerous state and local reforms to reduce burdensome regulations and restore property rights.  

Property rights formed a core principle of American liberty 250 years ago, ensuring dignity for homeowners. And over the past 250 years, the American Dream of homeownership has promised economic opportunity for generations. Through deregulation and reform, we can ensure that these principles and promises remain true for generations to come. 

Ilana Blumsack is a Senior Housing Policy Analyst at Americans for Prosperity.