Zillow CEO Urges Zoning Reform as Home Prices Surge 60–80%
Zillow Group CEO Jeremy Wacksman said home price gains of 60–80% since pre-pandemic levels make affordability reliant on boosting supply via relaxed zoning and modular construction. US inventory rose 4.9% year-over-year to a 3.8-month supply while 30-year mortgage rates climbed to 6.54%, tightening buyer affordability.
1. CEO Emphasizes Supply Constraints
Zillow CEO Jeremy Wacksman highlighted that home prices have increased 60–80% since before the pandemic, making mortgage rate reductions insufficient to restore affordability. He urged local governments to relax zoning rules, fast-track modular construction and pre-approve housing designs to accelerate supply growth.
2. Mortgage Rates and Consumer Affordability
The 30-year fixed mortgage rate has climbed to 6.54% following rising oil prices and inflation concerns, eroding the benefit of any future rate cuts. Wacksman noted that even a full percentage-point drop in rates provides limited savings when home prices remain elevated.
3. Inventory Levels Remain Tight
National inventory of single-family homes increased just 4.9% year-over-year, maintaining a 3.8-month supply—well below the six months needed for a balanced market. This scarcity continues to support high prices, particularly in resilient regions such as the Midwest and Northeast.