The COVID-19 pandemic has greatly impacted Colorado’s affordable housing market. With prices going up and wages going down, demand for inexpensive housing units has grown. At the same time, global supply chain disruptions and rising labor costs have hurt supply. These factors have fueled a raging crisis that is troubling many individuals. Now though, there are signs of relief on the horizon with state legislators working on a viable solution. According to Colorado’s affordable housing market experts, rapid expansion has resulted in a severe scarcity of affordable housing units. At the same time, the COVID-19 epidemic has exacerbated these issues, worsening the situation. Both homeowners and renters face the same dilemma of growing costs. Authorities are still looking for feasible answers in the face of large jumps with one such plan already seeing the light of day. The Challenges at Present The current situation in Colorado is one of the worst that the state has seen for many years. Rental prices saw a 13% rise throughout Denver alone. At the same time, house prices went up by 20% with the rates being even higher in the suburbs. As a result, the notion of owning a home of their own is rapidly becoming a distant reality for many. This is naturally a significant cause for concern for extremely low income individuals in the state. There are… Read More »Colorado’s Affordable Housing Plan: Challenges and Opportunities
affordable workforce housing
Alabama and its population of more than 5 million has been facing an affordable housing crisis for the past 15 years. However, things are beginning to normalize after a long time with 6 million sales recorded by the state in 2021. The demand-and-supply gap continues to exist but with global supply chains returning to normalcy and other market dynamics becoming favourable, things are beginning to portray a brighter side. With a group of 20 leading economists who analysed the current market, a number of conclusions have been drawn. Although housing prices are expected to increase 5.7% in 2022, the pandemic backlog is expected to reduce substantially. Housing sales are predicted to drop a little going to 5.9 million but at the same time, starts are expected to rise, hitting 1.67 million. These states will ease the pressure on the affordable housing market. Here are some of the challenges that the state is facing at present; Existing Resources Aren’t Enough Alabama continues to struggle with a lack of financial resources to address the city’s affordable workforce housing issues. The state’s federal entitlement has decreased dramatically over the years. As a result, home production investment has decreased. As a result of the decreasing availability, people are having difficulty finding new projects that fit within their budget. As a result, the condition has become more serious. Decreasing “Affordability”… Read More »Alabama and its Fluctuating Affordable Housing Market
Are you planning to buy a house in Las Vegas? With the massive growth of the population in 2018, it comes as no surprise that the real estate market in Las Vegas is on the rise. With our three tips, you can hunt for an affordable house in Las Vegas. Tip Number 1 – Learn To Be Patient Staying patient is one of the most important things to do when you are thinking of buying a house in Las Vegas. If the budget of the client is lesser as compared to the average price range, it could lead to a lot of competition. Hence, you need to learn the art of patience to reach your perfect destination. You might even have to make offers on a number of properties, but do not lose hope and stay consistent and patient. Tip Number 2 – Learn To Be Efficient With Finances When you are set to buy a home, the first thing to consider is the finances. How much can you afford to pay? Set a range for your budget so that you can look for the houses in your specific budget. Get the loan approved beforehand if you are searching for a house. This way, you can narrow down your search for your particular budget. The average price of a house in Las Vegas costs around… Read More »Tips for Buying an Affordable House in Vegas
Affordable workforce housing is affordable to the majority of the intended occupants. Affordable affordable housing is affordable for most working people in America, but not affordable enough for those who are just above the cut-off line. The demand for affordable workforce housing rises with increases in minimum wage and income inequality, as measured by GINI coefficients. Inequality is of great importance in affordable workforce housing. Income inequality has been of great importance in the affordable workforce housing conversation for many years, and is of more importance than ever as we move forward through time on this earth. While there are a few exceptions, affordable workforce housing generally only helps those who need affordable workforce housing. I feel that affordable workforce housing is something that every one of us must learn all they can about. Affordable workforce housing is affordable to the majority of the intended occupants. Affordable housing is affordable for most working people in America, but not affordable enough for those who are just above the cut-off line. The demand for affordable workforce housing rises with increases in minimum wage and income inequality, as measured by GINI coefficients. Income inequality has been of great importance in the affordable workforce housing conversation for many years, and is of more importance than ever as we move forward through time on this earth. While there are a… Read More »Who needs affordable workforce housing and why?
Housing industry experts, real estate investors and at least one research group have been asking the same question – who wins and who loses with affordable workforce housing? – for decades. The answers vary depending on their points of view. The consensus however, seems to agree that a growing number of working class families are moving into luxury condos in big cities, while poverty-level families are being pushed out of affordable housing projects. The lack of affordable workforce housing is still a major concern for hundreds of thousands of low-income households in the US, especially when home prices are skyrocketing across the country. RENTS FOR LOW INCOME HOUSING A shortage of affordable workforce housing is one of the biggest issues affecting more than half a million low-income families in the US. In California, there are currently 58 counties with a shortfall in homes which means monthly rent for affordable workforce housing is often higher than what struggling families can afford. In Los Angeles County, about 33% of renters earned less than $30,000 annually in 2016 – the national poverty line for a family of three is $20,420. On average, LA County renters paid $1,569 per month on rent in 2018. While this figure seems reasonable compared to New York City’s median monthly rent of $4,089 or San Francisco’s median monthly rent of $3,414 – it… Read More »Who wins and who loses with affordable workforce housing?
The challenges of investing in affordable workforce housing are not only the financial cost, but also the lack of an up-to-date inventory of public land, extreme regional variations in housing costs, local zoning regulations that often restrict production to just one or two types of buildings, and high construction costs. As a result, the cost of producing affordable housing has long been dominated by construction costs. Although lower construction costs are important in reducing rents, other factors have even greater impact on rent levels. These include the household’s size and composition (the number of bedrooms), educational level (especially for adults), and workforce status. The last factor is particularly significant because it addresses whether the head of household works at least 40 hours per week or is seeking work; if seeking work, he or she must be available to take new employment opportunities that may arise during the next few weeks. When available to take such opportunities (and they exist), these households will most likely see their incomes increase over time and therefore become better candidates for renting homes that offer more space and comfort. Thus, while housing policy should recognize the role of construction costs in affordable housing production, it must also recognize that the greatest impact on rent levels comes from workforce participation. As a result, many states have introduced variants of what is… Read More »What are the challenges of investing in affordable workforce housing?