Why Building Codes and Permits Make Homes Cost More | Maor Greenberg, Spacial

Why does it take so long and cost so much to build a home in America? Maor Greenberg, CEO and Co-Founder of Spacial, says the answer is time, and he has spent nearly two decades inside the problem. On this episode of Housing Matters, I sit down with a builder turned technology founder to talk about building codes, permit delays, plan review, and what it would take to get more homes built faster without cutting corners on safety. Maor explains how Spacial turns an architect's design into a 3D model, layers in structural, mechanical, electrical, and plumbing, and produces a permit-ready set of plans checked against building codes before anyone submits them. We cover a lot of ground, including why plan sets have ballooned from around 15 pages to more than 200, how local ordinances and zoning differ from state building codes, how Spacial handles the AI accuracy and liability question with a physics engine and licensed engineer review, and why permit and impact fees can top $200,000 in places like California. I also share the story of my own company, Atlas, and the roadblocks innovative building materials face when they are not yet in the code book. If you care about housing affordability, the housing shortage, construction costs, or why good ideas stall at the permit counter, this one is for you. IN THIS EPISODE How building codes, permitting, and plan review drive up housing costs and timelines Why construction is fragmented and how coordination errors create expensive rework How Spacial creates permit-ready plan sets with code validation and a 3D model How AI, a physics engine, and human engineers work together to reduce risk Local ordinances vs state building codes vs planning department rules Why new building materials struggle to get approved How permit fees and impact fees affect the price of a new home Why the most expensive thing in housing is time ABOUT MAOR GREENBERGMaor is the CEO and Co-Founder of Spacial. From launching his first construction venture in 2006 to founding Spacial in 2024, Maor has spent nearly two decades turning industry inefficiencies into scalable companies. He has 19+ years of hands-on experience across architecture, real estate, and construction, and has founded multiple award-winning ventures, including Greenberg Construction, Greenberg Design Gallery, and VRchitects. Spacial's mission is to automate and accelerate permit-ready design workflows across the AEC industry. CONNECT WITH MAOR GREENBERGSpacial: https://spacial.io/team/maor-greenber... Services: https://spacial.services/aboutLinkedIn:   / maor-greenberg   ABOUT HOUSING MATTERSHousing Matters is the podcast that covers everything real estate, from buying your first home to building your investment portfolio. Hosted by Matt Pouliot of Pouliot Real Estate in Augusta, Maine. Each episode brings expert insights, smart strategies, and real talk on housing and affordability. Subscribe for new episodes:    / @housingmatterspodpouliot   Real Estate: https://pouliotrealestate.com CHAPTERS 0:00 Why time is the most expensive thing in housing 0:41 Meet Maor Greenberg, CEO of Spacial 3:40 From Israel to the Bay Area: Maor's construction background 5:28 Why construction is fragmented and where the waste comes from7:22 How Spacial works: 3D models to permit-ready plans 9:28 How building codes affect housing costs and timelines 12:56 Why plan sets grew from 15 pages to 220 and who can become a builder 15:53 Where architects and engineers clash on design 19:06 Local ordinances vs state building codes vs zoning 24:21 AI accuracy, physics engines, and liability 28:03 Sears catalog homes and building code accessibility 31:26 Housing prices, market mismatch, and builder margins 34:48 Who Spacial is built for: architects, builders, and homeowners 36:34 Atlas, waste plastic building materials, and the certification roadblock 39:54 Why new materials and prefab are so hard to permit 42:44 What we misunderstand about why building is so expensive 45:50 168 hours: how people value their time 50:49 The future of Spacial: an operating system for construction 53:19 Permit fees, impact fees, and affordable housing mandates 56:25 Why upstream engineering is the real bottleneck 58:57 Where to find Maor and closing thoughts #HousingAffordability #BuildingCodes #ConstructionTechnology #HousingCrisis #HousingMatters