Commentary: California’s Housing Crisis Is a Policy Choice – It’s Time to Make a Better One

ai generated image

California’s housing crisis is not an accident. It is not the unavoidable result of market forces, population growth, or even the climate crisis. It is a deliberate policy choice—one that has allowed wealthy homeowners, entrenched local governments, and bureaucratic red tape to keep desperately needed housing from being built.

Now, in the wake of devastating wildfires in Los Angeles, the state faces a defining moment: Will we seize this opportunity to finally build the housing we need, or will we allow inertia and bad policy to continue pushing Californians into homelessness, poverty, and economic exile?

The cost of failure is staggering. California now has the largest homeless population in the country, with over 181,000 people living without stable housing. Skyrocketing rents have made even full-time employment insufficient to afford basic shelter, and entire communities are being hollowed out as residents flee to states with lower costs of living.

And yet, despite these clear warning signs, local governments continue to resist meaningful reform—clinging to outdated zoning laws that prioritize single-family homes over the density California desperately needs.

The recent fires in Los Angeles are more than a climate disaster; they are a stark reminder of the fragility of California’s housing system. Even before the fires, millions of Californians were struggling to find affordable housing within reasonable distance of their jobs.

Now, as entire neighborhoods face the prospect of rebuilding, we have a choice: continue protecting exclusionary zoning or embrace policies that encourage more housing where it’s needed most.

For decades, local governments have used restrictive zoning laws to block multi-family housing, limit density, and prevent lower-income residents from moving into wealthier neighborhoods. These policies have created an artificial scarcity of housing, driving up prices and forcing working-class Californians out of urban centers.

This is not just a problem of convenience; it is an economic catastrophe. Businesses cannot attract workers because there is nowhere for them to live. Families are forced into hours-long commutes, draining their time and money.

Cities like San Francisco and Los Angeles, once economic powerhouses, are now losing population at alarming rates because residents simply cannot afford to stay.

The housing crisis is also a racial and social justice issue. Restrictive zoning laws—often enacted under the guise of “neighborhood character” or “historic preservation”—have deep roots in exclusionary policies designed to keep low-income and nonwhite residents out of affluent areas.

Even today, affluent homeowners routinely use environmental lawsuits, zoning variances, and public hearings to block new apartment buildings, ensuring that only the wealthiest Californians can afford to live in desirable locations.

And while state lawmakers have recently passed laws to encourage housing development, the reality is that local governments are ignoring, delaying, or outright defying these mandates. The result? A crisis that deepens every year.

Some policymakers still treat housing as if it were a secondary issue, a problem to be managed rather than a fundamental pillar of the state’s future. That mindset is both outdated and dangerous.

Housing is not just about shelter—it is the foundation of a functioning economy. Without affordable and abundant housing, businesses cannot grow, industries cannot hire, and the state cannot retain the workers it needs to thrive.

We are already seeing the consequences. Tech companies, once the backbone of California’s economy, are expanding in states like Texas and Florida, where employees can afford to buy homes.

Entire industries are struggling to recruit talent because potential employees cannot afford to live near job centers.

Meanwhile, the state’s reliance on long-distance commuters contributes to congestion, pollution, and a lower quality of life for millions.

The message is clear: Without housing, California cannot compete.

The good news is that solutions exist. We don’t need new technology, radical experiments, or years of study to fix this crisis. The state already knows what needs to be done—what’s lacking is the political courage to implement real change.

Fortunately we know what to do – but can we muster the will to do it?

1. End exclusionary zoning. Cities must be required—not just encouraged—to allow apartments, duplexes, and multi-unit buildings in all neighborhoods, particularly near transit and job centers. Single-family zoning should be a relic of the past.
2. Streamline approval processes. The bureaucratic red tape surrounding housing development is a disgrace. Projects that meet zoning and safety requirements should be approved quickly, without endless public hearings that allow wealthy homeowners to stall construction for years.
3. Hold cities accountable. Local governments that refuse to comply with state housing mandates must face real financial penalties. The time for polite encouragement is over—if cities want state funding, they must build the housing their residents need.
4. Invest in wildfire-resilient housing. As we rebuild from disasters, we must ensure that new developments are fire-resistant and sustainable. That means smart density—concentrating housing in areas with lower fire risk rather than continuing to push development into fire-prone zones.
5. Expand tenant protections and affordable housing programs. While increasing supply is critical, we must also protect vulnerable renters from eviction and price gouging. That means stronger rent control, expanded housing vouchers, and aggressive action against landlords who exploit tenants.

California’s housing crisis is not an abstract policy debate—it is a real and growing emergency that is harming millions of people. Every year of delay means more families forced into homelessness, more workers pushed out of state, and more businesses struggling to survive.

Our leaders must recognize that failing to fix the housing crisis is not just bad policy—it is economic and moral malpractice.

The question is not whether California can solve this problem. We can. The question is whether we will choose to do so before it’s too late.

The choice is clear: build or stagnate. Which will we choose?

Categories:

Tags: