The US needs more housing — and agents are key advocates 

What will it take to get the housing market back in order? More homes, say many industry leaders, who point to a lack of supply as the primary missing ingredient in today's market — and, along with rising home prices, a key factor in the erosion of the American dream of homeownership. 

Some industry experts estimate that the U.S. housing deficit is between 1.5 and 5.5 million homes (or even higher). And as long as the supply gap remains, home price appreciation is likely to continue rising — a trend which threatens to further exacerbate the wealth gap and the ability of first-time homebuyers to enter the market, NAR chief economist Lawrence Yun told an audience of real estate agents at NAR NXT earlier this month. 

At this year's conference, inventory and affordable housing were front and center, with NAR telling Real Estate News that it sought to emphasize these topics because finding "solutions to address this shortage will be one of the most significant actions we can take as an industry to help provide more housing opportunities for all."

But it's not just industry groups and policymakers who play a role — agents can also get involved and help spur the development of desperately needed housing in their communities. 

Zoning regulations remain a primary culprit in supply deficit

One of the biggest hurdles to new housing is restrictive local zoning and frequent pushback from existing homeowners toward new development, Harvard professor and economist Edward Glaeser told the audience during a session on regulatory issues. High construction costs, borrowing rates, and other macro-economic trends have certainly played a role in today's housing crunch, but in many places, issues related to low supply are much more hyperlocal than one might assume, he explained.

"The Federal Government is fundamentally ill-suited toward solving our housing problem. In fact, the rules that stymy housing production are done at the hyperlocal level, and it is very hard for the federal government to change that," he said. 

Some federal agencies have recognized that challenge and are working to support local governments in addressing the problem, with leaders from HUD and the FHFA recently discussing programs to help "move the needle" on zoning at the local level.

Housing affordability was a top issue for voters leading up to this year's election, and both presidential candidates argued that they were best suited to tackle inflation and bolster the economy. 

While the Harris campaign rolled out an ambitious plan to encourage construction of millions of new homes and vowed to tackle zoning issues, it was Trump who came out on top on election night. And while it's still unclear what a Trump presidency means for the housing market, some economists expect to see further mortgage rate volatility and possibly a showdown with Federal Reserve Chair Jerome Powell.  

The battle for more housing may have to be largely waged by the real estate industry itself. 

Agents should get involved in fight for more housing

So what can agents do to see more housing built in their communities? 

Taking action locally could be as easy as simply showing up to community meetings where new housing developments are being discussed, panelists said during the session with Glaeser and other housing experts.

"When there's a town hall meeting on new zoning to allow housing, you can show up and encourage your neighbors to go and explain to them that it's not the end of the world," said real estate attorney and land use expert Kathleen Heyer of Pierce Atwood, LLP. "The people that show up locally to complain are very loud, and most of the people who don't have a problem with [new development] or even encourage it, don't take the time out of their day to go."

Phil Crone, VP at Leading Builders of America, said that all members of the industry — including real estate agents — should be active and engaged in local zoning matters and be housing advocates "as a representative of our industry," while Glaeser also encouraged agent attendees to support "stakeholders who actually want growth."

"You can support the political leaders who are pro-growth in ways that don't necessarily put you on the front line and potentially alienate clients," he explained. "You can give money to their campaigns — you can do all sorts of things. If you've got the bravery to fight — go for it — but there are ways that are less difficult where you can still make a difference."