That is overly dismissive. Back in the post war era there was a huge problem with slum lords and corrupt builders constructing terrible residential units that were unlivable and began to fall apart as soon as tenants moved in. In response layers of requirements were added and regulators who had benign intentions went way too far. That all these rules would crash residential construction in the 1970s such that it would never recover was not foreseen at all.
If the problem is such slumlords and builder profiteers they wouldn't have made it damn near impossible to be an unregulated owner builder for your families own homestead, but instead imposed those regulations only on the profiteers who wouldn't be living there.
No, this is intentional. It was damn near impossible to find a place where a man can still build his own home near civilization without oversight.
