Why Building a Home in San Diego Has Become Nearly Impossible

Media
Jul 18
2 min read

We talk a lot about the housing crisis in San Diego, but here's the truth: policies are making it worse.

One of the biggest barriers is something called Vehicle Miles Traveled (VMT) — a state mandate, supported by my colleagues at the Board of Supervisors, that forces homebuilders to pay massive fees if people living in their new homes might drive “too much.”

It sounds bureaucratic, and it is.

These rules punish builders who want to construct homes in rural or suburban communities — places where land is more affordable and families could actually live.

If you want to build a home in places like Ramona, Alpine, or Valley Center, you’re hit with VMT mitigation fees that can range from $10,000 to $22,000 per mile. That’s per mile of driving. That’s a cost that gets passed directly to homebuyers and renters.

It’s no wonder San Diego is one of the most expensive places to live in the country.

I speak to people all the time who want to build workforce housing for teachers, firefighters, and young families — but they simply can’t afford to, because the cost of compliance is too high.

Here’s what’s happened because of VMT:

New housing in rural areas has dropped from a projected 18,000 units to less than 6,000.
Projects are stuck in court or tied up in red tape.
Affordable housing is nearly impossible to build.
More people are being forced out of San Diego — or out of the dream of homeownership entirely.