Did you know? That Americans are actually forced to live in McMansion without their choice? Have a look at the numbers I found in picrel.1 and 2 There are no, not enough starter homes for young American adults who just hatched from burger buns waddling into the ocean of housing market. Why? Have a look at picrel.3 Building a bigger house doesn’t always require much more plumbing, electric wiring, etc., than a smaller one. However, since prices are set per square foot, construction companies get higher margins as extra space doesn’t add proportionally to material costs. So why don't they just build small and create a new market for the poor? That's still money for them. They can't. Why? Zoning regulations enforce minimum lot sizes and housing requirements to limit the construction of starter homes. By mandating larger houses within subdivisions, they can suck more and more tax revenues since it's determined by square foot and optional structures on the buildings.