Affordable Housing has been an extremely important issue across the country for decades and has continued to become more relevant/topical as societies grow and housing numbers decrease in certain geographic locations.
With the recent comments from the President about Affordable Housing, I believe it is important to provide some information about the topic and clarify some misconceptions that currently exist. Let me explain a little more:
In July 2020, the President said that people living their “Suburban Lifestyle Dream” will no longer be bothered/financially hurt by having low income housing built in their neighborhood. He also said that their housing prices will go up based on the market and crime will go down.
First, it is important to point out that the Affirmatively Furthering Fair Housing (AFFH) provision that the President referenced has never mandated low-income housing or rezoning and does not impose any land use decisions on any local government.
Meaning, there is no factual evidence that any part of the AFFH provision would require or enforce low-income/affordable housing to be built or planned anywhere, let alone suburban areas.
Second, claims that housing prices in suburban areas are negatively affected by affordable housing have been categorically disproven by a wide range of studies over the years. In fact, many studies have consistently shown either no impact or a positive impact on property values.
Examples that have shown negative impacts depended largely on variables such as area/market conditions, quality of design and the type/concentration of housing projects. However, it is inaccurate to definitively claim that an affordable housing development is the sole cause.
Third, in a Stanford University working paper from 2015, they found that local crime rates for 3 metropolitan cities (San Francisco, Chicago and San Diego) showed no increase and even declined in certain areas near properties financed by the Low Income Housing Tax Credit (LIHTC).
Housing in the United States has historical roots involving housing discrimination and residential segregation which reveal themselves more when we continue to highlight the negative effects of Affordable Housing and fail to mention any positive ones.
In cities, Affordable Housing give households the opportunity to move to higher resource neighborhoods, which boosts local economic activity and creates jobs. In suburban areas, Affordable Units allows property owners to maximize their lot and establish a passive income.
As the affordable housing shortage continues for the foreseeable future, intelligent strategies and solutions, which may include reexamining Single-Family Zoning and locating opportunity housing areas, will not only be important, but necessary.