Highland encourages construction of new single-family homes
By Brittany Blackwell
Reporter • The City of Highland is offering a financial incentive to encourage single-family home construction within city subdivisions during the 2027 fiscal year.
Under the ordinance, builders or contractors completing a new single-family residence or villa between May 1, 2026 and April 30, 2027, qualify for a one-time $5,000 city payment. The incentive covers only new homes within subdivision boundaries and city limits.
Director of Economic Development, Mallord Hubbard, explained that the program, which began in 2018, aims to promote economic growth and support residential development, while also expanding housing options within the community to serve the broader public interest.
“For homebuilders, construction materials have continued to increase, even since we implemented this program. This program hopefully allows for them to continue to build in our community and offset some of the costs,” he said.
Hubbard noted growing demand for these types of homes in Highland, citing a recent report from a local real estate agent on the city’s development commission.
“All indicators from recent years show new homes are selling way above asking price,” he said. “They’re not staying on the market long and, based on her and her colleagues’ assessments, we could use additional single-family homes in the area.”
To qualify, the home must pass a final city inspection. The city will then verify that the builder completed the project and meets eligibility requirements. Builders must submit a written incentive request within 60 days of the inspection. The city will review the application, confirm that the criteria are met, and, if approved, process payment.
City officials capped the program at 20 homes for the year and allocated $100,000 from the economic development budget. Only one payment per qualifying residence is allowed. In previous years, the cap was $4,000 for 25 homes.
The ordinance was approved at the April 20 city council meeting, and at that time, officials projected 15 total home builders would have used the program for the 2025-2026 fiscal year.
If approved, the city treasurer will issue payment within one month. Builders who fail to meet requirements or miss the 60-day application deadline will forfeit the incentive.
For more information or an application, contact Hubbard at [email protected] or 618-654-9891.
