Greenlight Homes: FAQs

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About this tool

The AEI Housing Center's answers to common questions about state bills that greenlight starter homes on smaller lots in new subdivisions and light-touch homes in existing neighborhoods. It covers recommended minimum lot sizes, the size, bedrooms and prices of small-lot homes, zoning history, local control, schools and taxes, and institutional investors. It helps lawmakers and residents see what these bills would change and what the evidence says.

Shows
Questions and answers with charts on lot size, living area, bedrooms and affordability of new homes, the New Home Bonus of naturally occurring affordable homes, survey support and state legislation.
Places
Nation, States
Years
2000–2026

Questions it answers

  • What minimum lot size should a state set to allow starter homes?
  • Would homes on 2,500 square foot lots be big enough for a family?
  • How many more starter homes would small-lot bills produce?
  • Which states have passed starter home legislation?
  • Will more homes overcrowd schools or lower home values?
  • Are institutional investors buying up single-family homes?

Limits

  • This is an FAQ document of the Housing Center's recommendations and research, not an interactive data tool.
  • Estimates of additional starter homes and freed-up affordable homes are projections that assume broad state passage of these bills.