affordable housing strategy, understanding, solutions

Affordable Housing

Strategy, Understanding, Solutions

Affordable Housing- Emerging Trends | 2

Challenge: Land Use Challenge: Land Use (US)(US)

Decreasing densities & inefficient land Decreasing densities & inefficient land useuse From 1982 – 1997:From 1982 – 1997:

Population densities Population densities in > 80% of 281 major U.S. in > 80% of 281 major U.S. metro areasmetro areas

Urbanized land Urbanized land by 47%, while U.S. population by 47%, while U.S. population only only by 17% by 17%

From 1900 – 2000:From 1900 – 2000:1 person households 1 person households from 5% to 26% from 5% to 26%Since WWII, Since WWII, family size while family size while home size home size


Challenge: Land Use Challenge: Land Use (FL)(FL)

Florida’s land area = 42% agricultural & urbanFlorida’s land area = 42% agricultural & urban 450-acres forest & 410-acres farmland cleared to 450-acres forest & 410-acres farmland cleared to

make room for ~ 1,000 new residents/daymake room for ~ 1,000 new residents/day From 1982 – 1997:From 1982 – 1997:

Urbanized land Urbanized land 34% nationally 34% nationally Urbanized land Urbanized land 58% in Florida 58% in Florida

Human activity has destroyed over 1/3 of Human activity has destroyed over 1/3 of Florida’s native habitatsFlorida’s native habitats


Challenge: Population Challenge: Population (FL)(FL)

Florida Population:Florida Population: 1980 ~ 10,000,0001980 ~ 10,000,000 2005 ~ 17,000,0002005 ~ 17,000,000 2030 ~ 28,000,0002030 ~ 28,000,000

% % (1930 – 2000) (1930 – 2000) U.S. Average ~ 230%U.S. Average ~ 230% Miami-Dade ~ Miami-Dade ~

1,800%1,800% Broward ~ 8,000%Broward ~ 8,000%


Challenge: Population Challenge: Population (TC)(TC)

Martin, St. Lucie and Martin, St. Lucie and Indian River CountiesIndian River Counties The Treasure Coast is The Treasure Coast is

predicted to grow by predicted to grow by 60 percent between 60 percent between now and 2030, now and 2030, bringing the total bringing the total population to population to 720,000. 720,000.


Challenge/Opportunity: Challenge/Opportunity: DRIs (TC)DRIs (TC)

~ 89,000 New Homes~ 29,000,000 s.f. of Commercial

Space


Challenge: Housing Challenge: Housing (FL)(FL)

Florida Building Florida Building Permits – Single Permits – Single Family Detached:Family Detached: 2002 ~ 127,0002002 ~ 127,000 2003 ~ 155,0002003 ~ 155,000 2004 ~ 185,0002004 ~ 185,000 2005 ~ 204,0002005 ~ 204,000

#1 in U.S. 12 out of #1 in U.S. 12 out of Last 14 yearsLast 14 years

St. Lucie CountySt. Lucie County

Taking home the baconTaking home the bacon


Median Income Median Income

Income Income LevelsLevels

Moderate Moderate income: income:

80% -120% 80% -120% AMIAMI

$43,680 - $43,680 - $65,520$65,520

Low income: Low income: 50% - 80% 50% - 80% AMI AMI

$27,300 - $27,300 - $43,800 $43,800

Very low Very low income: income:

30%-50% AMI 30%-50% AMI $16,380 - $16,380 - $27,300 $27,300

Extremely low Extremely low income: income:

Less than 30% Less than 30% of AMI of AMI

>$16,380 >$16,380

Median Income for a family of four in the Fort–Pierce/ St. Lucie Metropolitan Study Area is Median Income for a family of four in the Fort–Pierce/ St. Lucie Metropolitan Study Area is

$54,600$54,600


Adjusted SalariesAdjusted Salaries

Occupation – Occupation – Entry LevelEntry Level

80-120% of 80-120% of AMIAMI

50-80% of 50-80% of AMIAMI

30-50% of 30-50% of AMIAMI

Civil Engineer Civil Engineer $58,201 $58,201

Teacher Teacher $32,500 $32,500

Bank Loan Bank Loan Officer Officer

$31,767 $31,767

Retail Sales Retail Sales Person Person

$25,000 $25,000


Housing Affordability Housing Affordability AreaArea

Medium Medium IncomeIncome

AMIAMI

Maximum Maximum AffordableAffordable

Purchase PricePurchase Price

Required Required family income family income level to belevel to bedefined as defined as affordableaffordable

Property Property Taxes Taxes (Per St. Lucie (Per St. Lucie County County Property Property Appraisers)Appraisers)

ApproximateApproximate

InsuranceInsurance

CostCost

MortgageMortgage

Payments Payments 7% interest7% interest

for 30 yearsfor 30 years

Total Total Monthly Monthly PaymentPayment(30% of Gross)(30% of Gross)

60% 60% $94,000 $94,000 $32,772$32,772 $1,100$1,100

$91 per month $91 per month $1,000$1,000

$83 per month$83 per month $625 $625 $819 $819

80% 80% $124,000 $124,000 $43,480 $43,480 $1,750$1,750

$146 per month $146 per month $1,600$1,600

$133 per month$133 per month $825 $825 $1096 $1096

100% 100% $143,780 $143,780 $54,600 $54,600 $2,550$2,550

$208 per month$208 per month $2,350$2,350

$192 per month$192 per month $958$958

$1,366 $1,366

120% 120% $179,725 $179,725 $62,940 $62,940 $2,826$2,826

$235 per month$235 per month $2,200$2,200

$183 per month$183 per month $1,164 $1,164 $1,582 $1,582

175%175% $257,500$257,500

2005 St Lucie 2005 St Lucie Co. Co.

$94,840$94,840 $4,400$4,400$367 per $367 per monthmonth

$3,500 $3,500 $292 per $292 per monthmonth

$1,712$1,712 $2,372$2,372


Wage Vs Home PricesWage Vs Home Prices

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

1998 1999 2004 2005 2006

Average Median Income

Average Median HomeSales Price

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

$350,000

2006 2007 2008 2009 2010 2011 2012

Wages (increase of 6.75% peryear)

Home price (appreciation of 3%per year)

Existing Existing ProgramsPrograms

The path more traveled?The path more traveled?


National ProjectsNational Projects


SolutionsSolutions


CLT’s andCLT’s and Inclusionary Inclusionary

ZoningZoning

A A CCommunity ommunity LLand and TTrust (CLT) is a rust (CLT) is a private non-profit corporation created to private non-profit corporation created to acquire and hold land for the benefit of acquire and hold land for the benefit of a community and provide secure a community and provide secure affordable access to land and housing affordable access to land and housing for community residents.for community residents.


What will it do?What will it do?

Gain control over local land use and reduce Gain control over local land use and reduce absentee ownership.absentee ownership.

Provide affordable housing for lower-income Provide affordable housing for lower-income residents in the community.residents in the community.

Promote resident ownership and control of Promote resident ownership and control of housing.housing.

Keep housing affordable for future residents.Keep housing affordable for future residents. Capture the value of public investment for Capture the value of public investment for

long-term community benefit.long-term community benefit. Build a strong base for community action.Build a strong base for community action.


Inclusionary ZoningInclusionary Zoning


LLocal governments enact inclusionary zoning ocal governments enact inclusionary zoning to require or establish a voluntary goal for to require or establish a voluntary goal for new residential developments to earmark a new residential developments to earmark a proportion of housing units for lower-income proportion of housing units for lower-income households.households.

Section Five (5), Housing Element, of the St. Section Five (5), Housing Element, of the St. Lucie County Lucie County CComprehensive Plan, establishes omprehensive Plan, establishes the County’s goals and methods to provide the County’s goals and methods to provide housing that meets the needs of existing and housing that meets the needs of existing and future St. Lucie County residentsfuture St. Lucie County residents. .


Initial Goals Initial Goals

It is hoped that over a ten year It is hoped that over a ten year period approximatelyperiod approximately 4,353 workforce housing units will be 4,353 workforce housing units will be

createdcreated with potentially 4.35 million dollars with potentially 4.35 million dollars

directed to a Community Land Trustdirected to a Community Land Trust


Where we are today?Where we are today?

Draft documents Draft documents have been producedhave been produced

A consultant has A consultant has been retained to been retained to finalize all finalize all documentsdocuments

We still have a long We still have a long road ahead!road ahead!


Need More?Need More?

Please contact Jp Gellermann atPlease contact Jp Gellermann at

772-462-1660 or email at 772-462-1660 or email at [email protected]@ifas.ufl.edu

affordable housing strategy, understanding, solutions

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