Utah Gov. Spencer Cox has announced a plan to build 35,000 starter homes by 2028.
According to a report in the Deseret News, Cox dubbed his plan the Utah First Homes program and framed the proposal as a strategy to address the state’s housing shortage. Cox unveiled his proposal as part of his budget recommendation for fiscal year 2025, which is titled “Utah Home.”
“The fact is, the single greatest threat to our future prosperity, the American dream and our strong communities is the price of housing,” Cox said during a meeting with community leaders and homebuilders. “Our kids will never be able to call Utah home if we don’t start building starter homes again.”
Cox’s proposed operating capital budget encompasses $29.5 billion and the Utah First Homes element would cover $150 million, including an additional $50 million for the First-time Homebuyer Assistance Program launched last year to subsidize the purchase of newly constructed starter homes. Also being proposed is $75 million for a state infrastructure bank that would originate low-interest loans for the construction of public water, sewer and roadway infrastructure to support the new housing and $5 million for a rural “sweat equity” program and $10 million for an urban version that would enable new homeowners to volunteer their labor in building their residences in exchange for lower monthly payments. Cox proposes an additional $5 million for the rural sweat equity programs and $10 million to expand it to urban areas as well.
Also being put forth by Cox is a $5 million implementation of community land trusts and $5 million for a starter home innovation fund to incentivize the development of design and permitting solutions of affordable homeownership opportunities. The governor stressed that the Utah First Homes initiative would “correct a market failure in the housing space and create new opportunities leading to home ownership for our kids and grandkids.”
