Terner Center for Housing Innovation - UC Berkeley

How Local Market Conditions Shape Housing Policy Outcomes: Terner Housing Policy Simulator

Findings from the Terner Housing Policy Simulator at Terner Labs Local market conditions—such as land values, construction costs, and regulatory environments—can shape how housing development responds to policy changes. Therefore, reforms that meaningfully expand housing supply in one city may have far more limited effects in another. Understanding these differences is critical for policymakers: without accounting for local market dynamics, even well-intentioned housing policies may fail to produce the intended increases in production. Terner Labs—an…