State Housing Supply Legislative Tracker

136,000*
potential new homes per year
“Small Lots, Small Lots, Small Lots”
44 states with legislation
273** housing bills tracked
Updated October 22, 2026 (changelog)
PDF Report
October 22 update:Headline 178,000 → 136,000 homes/year· Illinois: three bills failed· poison pills cut three enacted billsSee what changed
Estimates for five failed bills were also corrected (GA, ID, KY, MN, NM). Full changelog

Bills already enacted could add 103,000 homes a year, in 7 states.

Another 33,000 are in 8 Playbook bills still moving.

103,000 enacted1,000 passed one chamber32,000 pending= 136,000 homes/year, the headline

Breakdown of state legislation by AEI Playbook Option

Active, passed, or enacted bills aligned with Playbook Options #1–3

Homes/year

  • Option #1: Lot size flexibilities in new residential subdivisions25,475
  • Option #2: Home dwelling type and lot split flexibilities on existing lots10,780
  • Option #2: ADU-only61,448
  • Option #3: Residential overlays in commercial zones38,629
  • Total136,332
136,332homes / year

% of state's Playbook potential

  • Option #165%
  • Option #258%
  • Option #2: ADU-only27%
  • Option #375%
  • Total42%

Bills under the selected status, each twin pair once, Narrow Applicability bills excluded. Percentages are of the Playbook potential for each option in the states where a selected bill is aligned with that option; ADU-only homes are measured against the full Option #2 potential, as in the document.

Source: AEI Housing Center, aei.org/housing.

2026 ScorecardShowing active, passed or enacted Playbook bills
States
14 KISS
Bills
129 KISS

Summary of introduced bills from 12 states having total or partial alignment with AEI Housing Center Playbook Options 1-3. Total projected extra homes per year: 136,000 (assuming KISS followed and no poison pills).

Right most column shows the bill's percentage Playbook alignment with one or more options: Complete ≥ 100% | Substantial 51–99% | Moderate 15–50% | Weak < 15%. ✓ = bill passed. = Option #2 ADU-only, counted in ADUs.

California✓ EnactedOption #248,000 ADUs52%36%
✓ EnactedOption #2Bill not yet quantified
Idaho✓ poison pillEnactedOption #14,90043%6,200 (79%)
✓ poison pillEnactedOption #2130 ADUs1%2,300 (6%)
Kansas✓ poison pillEnactedOptions #1-24,90050%6,500 (75%)
Maine✓ EnactedOptions #1-21,22024%1,080 (113%)
Massachusettspoison pillPendingOption #11,5659%40%
Michiganpoison pillPendingOptions #1-29,00041%13,900 (65%)
PendingOption #23,010 ADUs14%4,400 (68%)
poison pillPendingOption #27904%4,400 (18%)
New Jerseypoison pillPendingOption #24,120 ADUs19%29,400 (14%)
North Carolina✓ poison pillEnactedOptions #2-33,4785%15%
Ohiopoison pillPendingOption #18,20029%15,700 (52%)
Pennsylvaniapoison pillPendingOption #25,68020%12,000 (47%)
Passed One ChamberOption #2959 ADUs3%12,000 (8%)
Virginia✓ poison pillEnactedOption #21,430 ADUs4%16,500 (9%)
Washington✓ EnactedOption #337,30035%37,300 (100%)
✓ poison pillEnactedOption #21,650 ADUs4%24,100 (7%)

Where this year's Playbook bills ended up

Homes a year by status; twin bills counted once. Click a row to filter the page.
Failed Playbook bills held 300,000 homes a year, 2.2 times the headline.

Time left for the bills still moving

5 states with bills still moving, soonest deadline first. Black line: today, Oct 29.
JFMAMJJASOND
Statewide ballot Nov 3
5days to the vote
Session ends Nov 30
32days left
Term ends Dec 31
63days left
Term ends Dec 31
63days left
→Carries over to 2027
2027carries over

The poison pills in this year's bills

55 bills have at least one, 35 of them failed. The large figure is the share of the option's Playbook homes the bill loses, in the largest state with that kind.

Site and project limits

28 bills · 19 states · 22 failed

Leaves out land by tract size, owner, home size or location.

−72%of Option #3 homes cut in Florida (HB 1183 / SB 1342, failed)
this limit alone
of bus rapid transit and passenger rail stops

Population and density cutoffs

18 bills · 12 states · 11 failed

Applies only in places above, or below, a set size or density.

−77%of Options #1-2 homes cut in North Carolina (Starter Home Bill, failed)
together with the bill's other limits
For municipalities with a population above 50,000 in counties with a population above 275,000

Lots larger than 1,200 sq.ft.

16 bills · 13 states · 11 failed

Shrinks minimum lots, but not to the Playbook's 1,200 sq.ft.

−77%of Options #1-3 homes cut in Massachusetts (H.1572 / S.2836, failed)
together with the bill's other limits
must not exceed 10,000 sq.ft. in lot size

Local choice

10 bills · 10 states · 4 failed

Lets each locality decide whether, or where, the reform applies.

Not measured
The bill does not specify exact zoning reform elements that jurisdictions must enact in their plans.

Fewer homes per lot

9 bills · 9 states · 7 failed

Caps each lot at two or four homes; the Playbook counts up to eight.

−77%of Options #1-3 homes cut in Massachusetts (H.1572 / S.2836, failed)
together with the bill's other limits
up to 5 dwelling units by right

Sunsets and start dates

3 bills · 3 states · 1 failed

Expires, or reaches only future zoning actions.

Not measuredBills with this kind are ranked Narrow Applicability, which carries no estimate.
Provisions expire January 1, 2028, unless extended by the Legislature.

Affordability set-asides

3 bills · 3 states · 2 failed

Requires a share of the new homes to be income-restricted.

Not measuredBills with this kind are ranked Narrow Applicability, which carries no estimate.
30% of residential units in an enhanced transit village shall be affordable housing

Exemptions

2 bills · 1 state

Excuses places that already have a qualifying ordinance or district.

−76%of the bill's own homes cut in Virginia (SB 531)
this limit alone, as the document measures it
does not apply to a locality that adopted an ADU ordinance before January 1, 2026

Water and sewer

10 bills · 8 states · 8 failed

Applies only where public water and sewer reach.

−18%of Options #1-2 homes cut in Florida (HB 1143 / SB 948, failed)
this limit alone
residential lots connected to public water and sewer
About this Tracker

This tracker monitors state-level legislation that could increase housing supply by reforming local zoning regulations. The bills tracked here align with the AEI Housing Center's State Playbook, a comprehensive guide for state legislators to unlock housing production through targeted reforms.

What is "Annual Supply Increase"?

The annual supply increase percentage compares projected new homes from proposed legislation to the average number of homes built per year in each state from 2010-2023 (according to American Community Survey data). For example, +107% means the legislation could more than double the state's typical annual housing production.

What are Playbook Options #1, #2, and #3?

The AEI Housing Center Playbook identifies three state-level options to unlock new housing supply using small lots:

  • Option #1: Lot size flexibilities in new residential subdivisions
  • Option #2: Home dwelling type and lot split flexibilities on existing lots
  • Option #3: Residential overlays in commercial zones

KISS (Keep It Short and Simple) reforms eliminate unnecessary complexity in the homebuilding process. These include:

  • Permitting “shot clocks” or third-party reviews
  • Pre-approved design templates
  • Reduced parking mandates
  • Lower or waived impact fees
  • Streamlined building and energy codes aligned with affordability goals

Playbook Alignment Ratings

Each bill is rated on how closely it aligns with the Playbook's recommended provisions, measured as a percentage of the Playbook option's projected homes:

  • Complete: ≥ 100% of the Playbook option's projected homes
  • Substantial: 51–99%
  • Moderate: 15–50%
  • Weak: < 15%
  • No Alignment: does not align with a Playbook option, or includes "poison pill" provisions

* Housing supply projections depend on KISS implementation. “Poison pills” such as rent control, income requirements, and/or municipal discretion can reduce or eliminate benefits. Projections assume that bills with similar reforms are independent from one another. See the playbook for more detail.

Read the full methodology and report

Source: AEI Housing Center | PDF Report | Changelog | Data: First American Public Records

* If enacted, KISS followed, and no poison pills. ** 328 total bills tracked including twin bills (i.e., bills with a House and Senate version).

By Ed Pinto, Senior Fellow and Co-Director of the AEI Housing Center
Arthur Gailes, Research Fellow | Amanda Dial, Senior Data Analyst
AEI Housing Center

With thanks to Duncan Schroeder (Mercatus), Ilana Blumsack (AFP), Salim Furth (Mercatus), and Henry Honorof (Welcoming Neighbors Network) for providing state-level updates. We also acknowledge the use of the following additional sources: Housing Affordability Institute, State Policy Network, and the Center for Building.