The primary regulators of housing prices in the United States are local governments, state governments, and federal agencies. Local governments, such as city councils and county boards, play a crucial role in regulating housing prices through zoning laws, building codes, and land use policies. State governments also have a significant impact through housing finance agencies, anti-discrimination laws, and housing subsidies. At the federal level, agencies like the Federal Housing Administration (FHA) and the Department of Housing and Urban Development (HUD) provide guidelines and support for affordable housing initiatives.

The reason for this multi-level regulatory framework is to balance the need for affordable housing with the protection of property rights and the promotion of economic growth. According to the U.S. Census Bureau, the median sale price of new homes in the U.S. was $428,900 in the first quarter of 2023, reflecting the complex interplay of regulatory factors. Zoning laws, for instance, can limit the supply of housing by restricting the types of buildings that can be constructed in certain areas, which can lead to higher prices. Conversely, state and federal programs aimed at increasing the supply of affordable housing can help to stabilize prices.

Local governments regulate housing prices through zoning laws that determine where and what type of housing can be built. These laws can limit the density of housing developments, which can lead to higher prices due to reduced supply. For example, a study by the National Bureau of Economic Research found that strict zoning laws in certain cities like San Francisco and New York are associated with higher housing prices. Additionally, building codes and land use policies can also influence prices by dictating the costs associated with constructing new homes.

State governments play a role in regulating housing prices through housing finance agencies that provide loans and grants for affordable housing projects. These agencies can help to increase the supply of affordable housing, which can help to stabilize prices. Furthermore, state anti-discrimination laws and housing subsidies can also impact prices by ensuring that all residents have access to housing, regardless of their income level.

At the federal level, the FHA and HUD provide guidelines and support for affordable housing initiatives. The FHA insures mortgages for low

and moderate-income borrowers, which can help to make housing more affordable. HUD, on the other hand, administers various programs aimed at improving the quality of housing and expanding access to affordable housing. These programs can include grants for housing rehabilitation, loans for first-time homebuyers, and support for public housing authorities.

In conclusion, housing prices in the United States are regulated by a complex interplay of local, state, and federal laws and programs. These regulations are designed to balance the need for affordable housing with the protection of property rights and the promotion of economic growth. The U.S. Census Bureau's data on median housing prices underscores the importance of these regulations in maintaining a stable and accessible housing market.