That being said, there is still a serious national shortage of homes, and the lack of new construction is partly to blame. It is clear that higher building costs have significantly impacted this shortage, but I believe another key factor is the impact local zoning has on builders. Long before Covid, restrictions imposed by town boards which included limiting size and historic designations have hampered builders from creating multi-family projects, townhomes, affordable housing, and not to mention, single family homes. The lack of new builds has been growing for a decade and the pandemic only added to the problem.