In a recent LinkedIn post, Kevin O’Leary discusses the significant impact of government regulations on the cost of new homes in America, highlighting Utah’s MIDA program as a model for streamlining development.
O’Leary, a prominent investor and television personality, argues that excessive red tape is a primary driver of inflated housing prices. He points out that compliance costs can account for a substantial portion of a new home’s price tag.
“Thirty percent of the cost of a new home in America is government compliance. In some states, like California, it’s closer to forty-five percent.”
The investor contends that to genuinely lower housing costs, a decisive approach is needed, rather than minor adjustments. “If you actually want to lower costs, you don’t nibble around the edges, you take an axe to the red tape,” O’Leary stated in his post.
Utah’s MIDA Program: A Solution for Capital Certainty
O’Leary expresses strong admiration for Utah’s Mortgage Investment Development Authority (MIDA) program, which he believes effectively addresses these regulatory burdens. He highlights the program’s success in providing certainty for capital investment and accelerating the permit process for large-scale projects.
According to O’Leary, the MIDA program’s efficiency is unparalleled in his experience. He notes the critical link between project timelines and the cost of capital.
“Time is money. The longer permits take, the higher the cost of capital. Utah gets that.”
This understanding, O’Leary suggests, is key to making ambitious development projects feasible and more affordable.
The Economic Impact of Streamlined Permitting
The core of O’Leary’s argument centers on the economic benefits of reducing bureaucratic delays. He emphasizes that by expediting permits, the overall cost of development is reduced, which can translate into more affordable housing options for consumers.
O’Leary’s endorsement of Utah’s approach suggests a potential blueprint for other regions struggling with housing affordability crises. He concludes his post with a clear commendation:
“Three cheers for Utah and Salt Lake City, here I come.”
In essence, Kevin O’Leary’s analysis on LinkedIn underscores the critical need for regulatory reform in the construction industry. He positions Utah’s MIDA program as a successful example of how governments can facilitate development and contribute to lowering the cost of new homes by tackling bureaucratic inefficiencies head-on.
📝 About This Content
This article is based on insights shared by Kevin O'Leary on LinkedIn.
📅 Originally posted on February 12, 2026 | View original post on LinkedIn →