What is Fiscal Zoning?


The latest addition to Housing Affordability Institute’s Exlcusionary Zoning series
examines Fiscal Zoning and the role this approach plays in raising barriers to entry in
communities.

“Communities across the United States have relied upon fiscal zoning for decades and this
approach is at the center of our nation’s housing crisis,” said Nick Erickson, executive
director Housing Affordability Institute. “Fiscal zoning relied upon exclusionary tactics to
raise the cost of housing in communities, which in turn lowers housing production and
creates scarcity in the existing home market, driving up rent and existing home prices.”

Highlights:

  • Fiscal zoning can impede housing affordability and access to both new and existing
    housing.
  • Housing supply is depressed through fiscal zoning and the practice has played a central
    role in the housing crisis.
  • Fiscal zoning raises ethical concerns over the societal cost of relying on this
    exclusionary practice.

Fiscal Zoning & Socioeconomic Exclusion is part of the Housing Policy Explainer and Exlcusionary Zoning series which you can find in Housing Affordability Institute’s Policy Center.