Housing affordability emerges as key Michigan election issue

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As Election Day approaches, housing affordability and policy are likely to be key issues for Michigan voters.

Joel Arnold, policy director at Abundant Housing Michigan, told The Center Square in an exclusive interview that rising housing costs have made the issue a growing priority for Michigan families.

“For most households, housing is their single biggest cost. As home prices continue to rise, Michigan families’ largest expense continues to rise,” Arnold said. “With such a major increase in prices over the last few years, it is no surprise that housing has become a major priority for Michiganders.”

This comes as Michigan’s median home sale price is nearing $300,000, which Arnold said is a “level far above what a working class person can afford.”

The average Michigan home value is $266,292, according to Zillow. That is up 4% in the last year, but $100,000 more than what it was in 2019.

According to Arnold, the trend is not unique to Michigan, but the state’s lack of action to address rising housing costs is.

“This trend is similar across the country, however other states have taken bolder actions to address this issue,” he explained. “States as politically diverse as California, Montana, and Texas have all taken statewide steps to make it easier to build more and more different types of housing.”

Arnold said Abundant Housing Michigan and other advocacy groups are hopeful Michigan will learn from other’s successes.

“We’ve seen these policies have impacts in places like Austin where a surge in new construction following the passage of rules to remove regulatory barriers to building new homes drove rents down,” he added. “We hope Michigan follows the lead of states like these and also takes action to make it easier to build more homes.”

According to Arnold, a good first step would be passing the “Housing Readiness Plan,” which was introduced earlier this year by a bipartisan group of lawmakers.

The nine-bill package is meant to make it easier to build new homes in Michigan by updating zoning laws and reducing regulatory barriers. Supporters of the plan have pointed to regulatory costs as a major driver of increasing housing prices, estimating that roughly $95,000 can be added to the cost of a home before construction even begins.

Michigan’s housing shortage has been building for decades.

According to the 2024 Michigan Statewide Housing Needs Assessment, released by the University of Michigan, there has been a steady decline in the number of new housing units hitting the market since 2000.

Additionally, it found that low-income households have been especially affected by the housing supply gap.

Lawmakers hope the bill package will address this issue, particularly by updating Michigan’s zoning process to be more “efficient, predictable, and transparent.”

Notably, the bills will:

• Allow duplexes in single-family residential zones that are in, or adjacent to, metropolitan areas

• Prohibit minimum parking space requirements of more than one space per dwelling

• Reduce bureaucratic delays by setting a 60-day timeline for decisions

While receiving bipartisan support from both the Republican-led state House and Democrat-led state Senate, it is unclear if this housing initiative will be more successful than a similar one which stalled in 2024.

Arnold said now is the time for Michigan lawmakers to take action.

“Michigan has a chance in this legislative session to advance the Michigan Housing Readiness Package to remove many of the barriers that drive up the cost of housing,” he said. “This is a unique opportunity and we hope the legislature takes action to make our state more affordable and accessible to all.”

According to Abundant Housing Michigan, legislators that support housing reform “perform well” in elections across the state.

Arnold said 82% of voters want action on housing affordability now, adding that “the strong support seen in primaries for pro-housing candidates only reinforces this.”

“It’s very clear that voters across the country have rewarded pro-housing legislators,” Arnold said. “We know from our own polling with YouGov that Michigan voters want legislators to prioritize lowering housing costs, with it being ranked right with inflation overall as Michiganders’ most important issue.”