Addressing Pennsylvania’s Housing Affordability Crisis
Pennsylvania’s housing affordability crisis stems from complex zoning laws and bureaucratic barriers, not a lack of land or builders.
Across the Commonwealth, housing prices have surged. The median home listing price in Pennsylvania climbed from about $184,900 in 2016 to roughly $325,000 by 2025. For families and young couples trying to buy their first home, or seniors hoping to downsize, that jump puts homeownership further out of reach.
At the same time, Pennsylvania simply isn’t building enough homes to keep up with demand. From 2017 to 2023, housing permits increased the state’s housing supply by only 3.4 percent, even though the number of households grew 5.1 percent. When demand grows faster than supply, prices go up. It’s basic economics, and unfortunately, potential buyers are paying the price.
Why aren’t we building enough housing? One reason is that Pennsylvania’s zoning system is incredibly fragmented. The state has more than 2,600 municipalities, many of which have their own zoning codes and approval processes. As a result, developers and even small local builders have to navigate thousands of different rules just to build homes.
In many communities, the rules allow only one single-family home per large lot—sometimes close to an acre per home. Even in areas with water, sewer, and infrastructure that could support more families, the law prevents it.
The result? Fewer homes, higher prices, and fewer options for young families trying to put down roots in Pennsylvania.
That’s why policymakers are looking at commonsense land-use reforms to increase housing supply and restore affordability. One key proposal would update Pennsylvania’s Municipalities Planning Code to allow duplexes, triplexes, and fourplexes in areas currently zoned only for single-family homes, in communities with populations over 5,000. Another plan, poised to move in the state House next week, would legalize the construction of accessory dwelling units on properties across the commonwealth.
This kind of housing—sometimes called “missing middle housing”—was once common in American neighborhoods. It allows multiple families to live in attractive homes that look like single-family houses but provide more housing units on the same land.
Allowing duplexes, triplexes, and fourplexes doesn’t eliminate single-family homes, but instead gives property owners more freedom to build housing that meets today’s needs. As a result, we
get starter homes, more options for seniors who want to age in place, and more affordable housing close to jobs and schools.
Most importantly, this approach doesn’t rely on heavy government subsidies or new bureaucracies. Instead, it removes the barriers the government created in the first place, allowing the market to build more housing where people want to live.
Other states across the country—from Montana to Florida—have already taken steps to modernize zoning and increase housing supply. Pennsylvania would be wise to follow their lead.
At the end of the day, housing affordability comes down to a simple principle: when you make it easier to build homes, more homes get built, and prices stabilize.
Pennsylvania’s potential is endless. If Pennsylvania wants to remain a place where families can afford to live, work, and raise the next generation, we must cut red tape, modernize zoning laws, and let builders get to work.
Fortunately for us, there’s a bipartisan movement in both chambers to make this a reality.
Visit AFPPennsylvania.com to learn more and take action by sending a message directly to your member. Support common-sense economic policy: advocate for more housing to make prices affordable for more Pennsylvania families.
This is Emily Brey, State Director with Americans for Prosperity-PA.
