Municipal Zoning and the Geography of Mobile Homes (Job Market Paper)
Local land use regulations shape not only how much housing is built but its composition. At municipal boundaries, the mobile home share of detached homes more than triples from roughly 2% to over 8%, suggesting that regulations within cities restrict mobile homes. Consistent with this interpretation, quality-adjusted prices of mobile homes decline by roughly $7,700 at the same boundaries even as site-built home prices evolve continuously, further evidence that regulation burdens mobile homes relative to site-built housing. I develop a sufficient statistics framework to assess these distortions to the composition of the housing stock. The framework leverages a CES demand model over differentiated housing varieties in which municipal zoning enters as a differential implicit tax on mobile homes. I map the two reduced-form statistics to two structural parameters: the implicit regulatory tax and the elasticity of substitution between mobile and site-built homes. The model implies a high elasticity of substitution between the two types conditional on size, vintage, and lot size. The high substitutability means that even a modest regulatory tax reduces the share of mobile homes in cities by more than 60% relative to its counterfactual level, suggesting that municipal land use regulations, not household sorting, drive both the ruralization and small market shares of mobile homes.


