From Proposal to Policy: How ABMA Is Leading the Push to Lower the Cost of Building Homes 

The White House has formally adopted ABMA’s “Building Homes, Not Cost” proposal through Executive Order 14394 – a decisive move to confront the rising cost of housing nationwide. This executive order to remove regulatory barriers to home construction is a meaningful step toward addressing a growing problem  : the hidden cost of government requirements that  are driving  home prices further out of reach for the average American family. For ABMA members, this is  policy, it  directly impacts whether projects can move forward, and whether customers can afford to build. 

The Journey: Bringing Real-World Costs to Washington 

Across the country, lumber and building material dealers are seeing the same trend: Costs are rising, and not just from materials or labor. Government-driven costs are quietly stacking on top of every project via, 

  • delays in permitting;
  • layered and duplicative regulations, mandates that add cost without clear return, and;
  • requirements that don’t reflect how our industry actually operates. 

Those costs don’t disappear; they show up in the final price of a home. And increasingly, that price is out of sync with demand. 

Today, the average new home price exceeds $400,000. But the strongest demand in the market is for homes priced at $300,000 and under. That gap matters. Because when homes are priced out of reach, Projects don’t move forward, builders pull back, and dealers sell less material. 

Recognizing this, ABMA brought together more than 250 businesses, associations, and labor partners to develop a plan focused on one goal: getting America building again at price points where demand exists. That plan, submitted to the White House last fall was: “Building Homes—Not Costs” 

What the Executive Order Does—and Why It Matters to Dealers 

 Executive Order 14394 reflects many of the same principles ABMA has been advancing. But more importantly, it has real implications for our members. 

1. Reviewing and Eliminating Costly Regulations 

  • Every added requirement increases the cost of a home, and as prices rise, demand falls.  
  • Reducing unnecessary regulations helps bring projects back into a price range where they actually get built. 

2. Streamlining Permitting and Approvals 

  • Delays stall projects. When projects stall, orders stall. 
  • Faster approvals mean more projects moving forward, and more consistent demand for materials. 

3. Improving Coordination Across Agencies 

  • Less confusion and fewer delays in the process means builders can plan and execute projects more efficiently and affordably, keeping jobs on track and materials moving. 

4. Addressing the Cumulative Burden of Regulation 

  • It’s not one cost—it’s all of them combined. 
  • When the total cost pushes a home beyond what buyers can afford, the project doesn’t happen. Reducing that burden helps bring projects back into reach. 

5. Encouraging State and Local Reform 

  • Many of the biggest barriers to building exist at the local level. Progress here has the potential to unlock new projects in the markets where our members operate every day. 

6. Focusing on Increasing Housing Supply 

  • More homes built = more materials sold.
  • But not just any homes, homes in the price range where demand is strongest. 

Connecting the Dots: Demand, Price, and Opportunity.  

This is where the impact becomes clear. Right now: 

  • The average new home is priced above $400,000 
  • The greatest demand is at $300,000 and below 
  • That gap is driven in part by the hidden cost of government. 

Closing that gap brings projects back to life, gets builders building again, and puts dealers at the center of that growth. 

Lowering these costs doesn’t just help buyers; it unlocks the largest demand  existing in the market. 

This is a significant step forward, and we commend the administration for recognizing the real impact government-driven costs have on the price of building.