No Zoning, No Housing Bubble, No Crash

Loren Steffy's article in today's Chronicle illustrates one of the reasons I have, over the years, come to favor no zoning. His topic has to do with the fact that the Houston housing market has fared much better than the rest of the nation during the current slump. Steffy points to a report issued by the Federal Reserve Bank of Dallas that points to no zoning as one of the reasons Houston has been spared.

According to the report, zoning restricts the supply of housing, resulting in price increases and housing bubbles. And this is one of the best things about Houston, in my opinion. If you are a young person and want to live close to downtown, you don't have to be a zillionaire to do it like in NY, LA, San Francisco. Thanks to no zoning, the housing options are many, and living inside the loop is possible. I find many  people anxious to do it, especially with such high gas prices. Just last week I showed a young couple a nice patio home priced at $269K in a gated community about 1 mile west of downtown. It was a transitional neighborhood, quickly taking off. But they didn't care in the least, in fact she said (and meant it) "I love the area." In what other big city is this possible but Houston? And all thanks to no zoning!