We are working on a project in Denton TX and building 163 townhomes.
The approval process took us 2 years from the city.
People are always complaining about the cost of housing and based on our experience of getting the approvals from the city, there is zero chance for housing costs to reduce.
For a 35 million dollar project we spent $600,000 just to get the city approval to build the project.
Then there is so much unnecessary regulations that need to be followed that costs millions in additional costs.
The only way housing costs will fall is if we get a major recession. I just do not see any other way.
If any of trump policies are implemented I expect a major recession which will eventually cause housing prices to fall below replacement value since there will be so many foreclosures.
Tariffs will cause an increase in material prices
Deportations will cause a major increase in labor costs
National debt is getting close to a tipping point where we will be at a point of no return. Major inflation will also cause costs to spiral out of control.
I keep trying to think of policies that can decrease housing costs and the only way is to:
Reduce regulation - Highly unlikely
Reduce tariffs - Seems unlikely
Reduce national debt - Seems unlikely
Recession - Seems like a posability
I will start making videos of the entire process of building from land clearing to vertical construction. So hopefully others can learn from our experience.
