When a federal housing official publicly tells homebuilders to “build more,” it sounds simple enough. More homes should mean more supply, and more supply should ease affordability pressures.
That logic works at a national level. On the ground in the St. Louis region, the story is far more complicated.
Recently, **Federal Housing Finance Agency Director Bill Pulte called on builders to accelerate construction on lots they already control, arguing that housing affordability will not improve without increased production. The message was clear and widely shared.
What matters just as much is where that message runs into local reality.
The assumption behind the headline
The national argument assumes there is a meaningful backlog of buildable, entitled, shovel-ready lots that builders are choosing not to develop.
In some fast-growth markets, that may be partially true.
In much of the St. Louis region, it is not.
Here, the constraint is rarely unused lots waiting on builders. It is far more often a combination of limited buildable land, zoning and density restrictions, infrastructure requirements, permitting timelines, and rising construction, labor, and financing costs.
Those factors shape what gets built, where it gets built, and whether it makes financial sense to build at all.
Why “just build more houses” is not so simple locally
In built-out communities like Kirkwood, there are very few vacant, ready-to-go residential lots. Most new construction comes from teardowns, assemblages, or infill development, each of which involves time, neighborhood input, regulatory review, and real financial risk.
Even when a builder owns land, it does not automatically mean they can or should build immediately. Market conditions, interest rates, labor availability, and municipal requirements all influence timing.
The presence of land does not equal the presence of feasibility.
Why the impact would vary across the St. Louis region
While national pressure on builders may resonate in fast-growth markets, its impact across the St. Louis region would be uneven. Established inner-ring communities like Kirkwood, Webster Groves, and Brentwood are largely built out, with development driven primarily by teardowns and infill. In those areas, housing supply is shaped far more by zoning, infrastructure, and neighborhood review than by whether builders are holding unused lots.
Any meaningful effect from federal pressure would be more likely felt in outer-ring suburbs and growth corridors, where larger tracts of subdividable land still exist and production-style building is more feasible. Even there, construction timelines remain constrained by financing, labor, and buyer affordability, not just land availability.
What this means for buyers hoping for relief
It is understandable that buyers hear calls like this and hope it will lead to a wave of new homes and lower prices.
Locally, meaningful relief from supply pressure is more likely to come from thoughtful infill and redevelopment, a mix of housing types rather than single-family homes alone, incremental increases in density where infrastructure supports it, and predictable, efficient permitting processes.
None of those are quick fixes. But they are the levers that actually move the needle in established communities.
What this means for sellers watching the market
For sellers, national headlines about “millions of empty lots” can feel disconnected from reality. In much of the St. Louis region, resale inventory remains constrained relative to demand. New construction is not flooding the market, and it is unlikely to do so in the near term.
That context matters when evaluating pricing, timing, and expectations.
The disconnect between federal pressure and local reality
Federal agencies can encourage, signal, and apply pressure. They cannot rezone neighborhoods, expand sewer capacity, widen roads, or shorten municipal review timelines.
Housing is built locally, under local rules, responding to local economics.
That does not make the national conversation wrong. It makes it incomplete without local context.
The real question worth asking
The better question for communities across the St. Louis region is not whether builders should simply build faster, but how cities can responsibly support the type of housing their residents actually need, in places where land is scarce and change is closely watched.
That is a harder conversation than a headline. It is also the one that actually shapes outcomes.
If you’re thinking about buying, selling, or exploring your options, I’m here to guide you with clarity and care.If you are trying to understand how national housing policy debates intersect with what is happening in your own neighborhood, your buying power, or your home’s value, local perspective matters. As a Kirkwood resident and real estate professional, I help clients make sense of how these big-picture conversations translate into very real, very personal decisions.
Karen Moeller
🌐 STLKaren.com
📧 Karen.McNeill@STLRE.com
📞 314.678.7866
About the Author:
Karen Moeller is a St. Louis area REALTOR® with MORE, REALTORS® and a regular contributor to St. Louis Real Estate News, helping clients make informed, data-driven decisions.
