Abstract
This paper addresses the theoretical relationship between impact fees and housing affordability for moderate and middle income groups. The paper begins with an overview of the results of various impact fee studies. Included in this section are discussions of the short and long term effects of impact fees and who bears the incidence of impact fees. The paper then presents a model that demonstrates the effects of impact fees on housing costs using data from two Florida cities. The paper concludes that market supply and demand for housing determine which parties—builders, buyers or landowners—bear the burden of impact fee. This result has implications for a number of public policy considerations including housing affordability and the redistributional effects of impact fees on wealth and income.
Recommended Citation
Charles J. Delaney,
Impact Fees, Housing Costs, and Housing Affordability: Who Bears the Impact of Impact Fees?,
1 U. Fla. J.L. & Pub. Pol'y
(2022).
Available at: https://scholarship.law.ufl.edu/jlpp/vol1/iss1/8