Decades ago, Americans could choose their home by browsing catalogs from Sears and other retailers.
Now, communities across the country are using a similar concept to spur construction of more affordable homes as costs of housing skyrocket and builders fail to keep pace with the growing need for housing. The communities are offering menus of preapproved, architect-designed housing plans, sometimes called pattern books, that builders and property owners can choose from, knowing in advance that they are acceptable to local governments.
The plans, offered free or for a small fee, can help save as much as $10,000 in upfront development costs by speeding up the process of getting a building permit, a new report from the Pew Charitable Trusts found.
That may not sound like much, but with the average cost of new home construction around $428,000 nationally, every bit of savings can help. Preapproved or “permit ready” plans are seen as a relatively simple way to trim weeks or even months off administrative timelines, helping to reduce costs, Pew found. One expert told Pew the program was akin to “TSA PreCheck” for builders.
“Every month of delay adds costs that ultimately land on the buyer,” said Alex Horowitz, project director of Pew’s housing policy initiative.
With preapproved plans, builders can potentially pass along their savings to buyers or renters, Mr. Horowitz said. Communities could also update their regulations on issues like modifying minimum lot sizes and easing parking requirements to help chip away at builders’ costs and encourage more home building, the Pew report said.
Otherwise, local governments have little control over most factors that affect the cost of housing, like interest rates and the cost of materials, said Matthew Petty, chief executive of Pattern Zones, an urban planning firm in Fayetteville, Ark., that helps communities streamline permit processes.
“But,” he said, “they can have a direct impact on permitting.”
These “promising, if modest” initiatives are spreading, Pew found, as concern about housing supply and affordability grows. Dozens of communities have adopted preapproved plan programs, including Claremore, Okla., a small city near Tulsa; Kalamazoo, Mich.; and South Bend, Ind. The plans may include single-family homes, as well as duplex and triplex structures — buildings with two or three separate homes under one roof — and even small apartment buildings.
The plans are especially helpful for smaller developers, which are more likely than big firms to build on vacant lots in established neighborhoods, the report said.
Preapproved plans can also help speed recovery plans after disasters. Communities in Southern California are using them, for instance, to help homeowners rebuild houses they lost in wildfires.
What are ‘preapproved’ home plans?
Cities and towns typically require builders to submit detailed design plans and blueprints for new homes so they can be sure the structures meet local zoning and safety codes. The traditional review process can sometimes take weeks or even months, depending on the complexity of the project and the size of a community’s planning staff.
But by vetting designs and giving them a stamp of approval ahead of time, local governments can reduce red tape and get construction of needed homes underway more swiftly. (Builders generally still must submit a separate site plan, showing where the building will be on the lot.)
Edward Erfurt, chief technical adviser with Strong Towns, a nonprofit that promotes dense, walkable neighborhoods as more sustainable than suburban sprawl, said preapproved designs could help reduce risk for small builders. “It adds predictability.”
Matthew Loos, a civil engineer starting on his first project as a developer in Rogers, Ark., said the recent availability of free, preapproved townhouse plans from the city was a factor in his decision to proceed because it helped to save on design costs.
“I don’t know that I would have gone forward with the project if I didn’t have that option,” he said. “A lot of times, there’s uncertainty. You don’t know for sure if it’s going to be OK’d.”
While professional developers and builders can use the plans, they’re also available to residents who want to build their own homes on land they buy or inherit, said Kyle Clifton, director of planning and development in Claremore. Some permit approvals for the predesigned plans can be turned around in 24 hours, he said.
Why are delays so costly for home builders?
Long project approval times can deter home building and raise costs for both buyers and renters, Pew reported. Developers incur additional costs, including interest payments, insurance and property taxes, as they wait for approvals.
Details vary by location, but Pew cited one study in Washington State that found each month of delay in the permitting process increased the cost of the building by 1 percent. Another study, an analysis in 2022 by the Citizens Budget Commission, a New York City think tank, found that approval delays in New York City could add $50,000 per unit to the cost of a midrise apartment building.
An analysis by the National Association of Home Builders estimated that for every extra $1,000 that a home costs, more than 115,000 households can no longer afford that home.
How common are preapproved building plan programs?
Pew found at least 40 communities offering them. Many small and midsize cities, in particular, are embracing the idea because they are caught in a difficult situation, Mr. Horowitz said. They see local demand for affordable properties, but construction costs have risen so much that developers find it difficult to build profitably. Reducing uncertainty and shaving time off the approval process is one way to reduce costs, he said.
Several states have passed laws encouraging the adoption of preapproved plans, and Congress is also interested in the approach. Bipartisan housing legislation under consideration would include grants to local governments to adopt pre-reviewed designs. On Wednesday, Republicans and Democrats in the House voted to pass the bill. It still needs Senate approval before it can be sent to President Trump.
Is there opposition to preapproved plans?
New development is sometimes stymied by homeowners in what has been given the derogative title of “NIMBY,” for “not in my backyard.”
But a Pew survey in 2023 found — somewhat surprisingly, Mr. Horowitz said — that 86 percent of the public supported changes to speed up permitting processes. Preapproved plans may be less likely to face opposition, officials say, because the plans are designed to blend in with surrounding homes.
Rebekah Kik, deputy city manager in Kalamazoo, said residents could be assured that a property using a preapproved plan would fit into their neighborhood, so they tend to be more accepting. “People can see what it looks like,” she said.
How can I find out if my town offers preapproved plans?
Typically, programs offer a menu of plans that builders and potential buyers can view online. (Local governments buy or license access to the plans, effectively subsidizing the cost for builders.) Some programs offer just a few options, while others offer dozens. Some make the plans available citywide, while others restrict them to certain neighborhoods. To find out if your city or town offers preapproved plans, or permit-ready housing, try searching online. Or call your local building department or community development office.
Are preapproved plans available for ‘accessory dwelling units’?
In many cases, yes. “Accessory dwelling units,” or A.D.U.s, are gaining popularity as a way to increase the supply of housing, especially by adding smaller homes in established neighborhoods. A.D.U.s are smaller structures, like a backyard cottage or carriage house that is built next to a single-family home or as an addition to the main house.
More than a dozen states have passed laws allowing construction of accessory units. California requires local governments to provide preapproved plans for them. New York City recently published a set of preapproved A.D.U. plans.
