Please wait as we prepare your PDF file ....

Mission Chronicle Blog

Search Blog

our goal is to help you stay informed by providing timely and interesting articles.

How can expensive cities provide affordable housing for workers?

02/15/2017

Download PDF

As housing prices rise, the heart of the middle class gets squeezed out.

In Los Angeles, increases in prices not only provoke workers to leave, but they also make it harder for small businesses to flourish.

On February 8, the Southland Regional Association of Realtors (SRAR) hosted the Housing Our Workers forum to discuss how to solve the problem of affordable housing.

The National Association of Realtors (NAR), the Valley Economic Alliance and BizFed Institute were also part of the forum intended to provoke honest conversation on the construction of affordable housing in the state.

Nurses, teachers, administrative staff, construction workers, firefighters, paramedics and law enforcement officers are among the numerous workers who are leaving the state — and are also among those most needed for a successful community.

The economy of California is also at risk because businesses are unable to recruit and retain employees. Lack of affordable housing has led to increases in long commutes, straining local freeways and having a real impact on the quality of life for workers.

Rising costs plus limited supply 

If a person is earning less than $100,000 in Los Angeles, purchasing a home is most likely not possible.

The median price of a home in the area is approximately $600,000. To rent a home, it might cost $2,200 to $2,500 per month. And to rent a one-bedroom apartment, it will cost a minimum of $1,500.

Middle class workers are often ineligible for low down payment subsidies. Workers are often spending 50 percent or more of their income simply on housing.

Part of the problem is housing supply. Data from the California Department of Housing and Community Development shows that developers are currently building an average of 80,000 new California homes a year, but 180,000 are needed.

Is the answer more legislation?

Potential solutions include billions in state and local funding for providing affordable housing and changes in zoning that allow for more development.

A new law SB 1069, eases rules for “accessory dwelling units,” the so-called granny flats. The new rules reduce parking restrictions and increased the maximum allowed size of a granny flat. However, nearly every developer reports that trying to get projects built is a Herculean task.

The California housing crunch isn’t just limited to Southern California; it’s equally a problem in the San Francisco Bay Area.

Scott Wiener, who represents San Francisco and northern San Mateo County in the state Senate, recently introduced SB35, a Housing Accountability and Affordability Act.

The proposed bill says if a city isn’t meeting its regional housing goals, SB35 will streamline a city’s approval process so projects that meet zoning requirements are automatically approved (subject to design review and paying construction workers prevailing wage).

Deidre Woollard is the co-founder of Lion & Orb, a real estate public relations company. Follow her on Twitter @Deidre.

Email Deidre Woollard.

Source: click here

Read More

INSPIRED, INTELLIGENT, INSIGHTFULL

STAY INFORMED WITH TIMELY AND INTERESTING ARTICLES FROM OUR BLOG, MISSION CHRONICLE. OUR ASPIRATION IS TO PROVIDE REALTORS AND OTHER REAL ESTATE INDUSTRY PROFESSIONALS WITH EXCEPTIONAL RESOURCES AND SHARE OUR KNOWLEDGE TO PROPEL YOU TO YOUR GOALS.

  • Switcher Studio brings easy, broadcast-level video production to the iPhone

    September is Marketing and Branding Month at Inman. That means we’re talking to the chief marketin...

  • Looking for a simple solution to social media? Try PropertySimple

    Have suggestions for products that you’d like to see reviewed by our real estate technology ex...

  • Furnished or unfurnished? 3 agents weigh in

    When putting a property on the market, a seller has a variety of options: list the home fully furnis...

  • Want video landing pages in a snap? Real Estate Shows might be for you

    Have suggestions for products that you’d like to see reviewed by our real estate technology ex...

  • Renovation-averse buyer? We have tips for that

    Luxury real estate buyers lead increasingly complex lives, so it’s no surprise that many are optin...

  • Openhouse Live makes Matterport tours a group event

    Have suggestions for products that you’d like to see reviewed by our real estate technology ex...

  • Rethinking home: How buyers are reprioritizing amenities

    Among all the shifts that have happened this year, the fact that businesses rely on a distributed wo...

  • Not good at arranging throw pillows? Good thing there’s Stagerie

    Have suggestions for products that you’d like to see reviewed by our real estate technology ex...

  • The Instagram playbook: how to make your listings stand out in the age of visuals

    When today’s emerging affluent consumer wants to curate a gallery of their lives through video and...

  • PureAgent CRM reduces automation dependency, ups ante on live tours

    Have suggestions for products that you’d like to see reviewed by our real estate technology ex...

September 2020
Mon Tue Wed Thu Fri Sat Sun
 123456
78910111213
14151617181920
21222324252627
282930  

  • Polls

    What information you are looking for?

    View Results

    Loading ... Loading ...
  • Last month Results

    How Is My Site?

    • Good (100%, 3 Votes)
    • Excellent (0%, 0 Votes)
    • Bad (0%, 0 Votes)
    • Can Be Improved (0%, 0 Votes)
    • No Comments (0%, 0 Votes)

    Total Voters: 3

    Vote

    Loading ... Loading ...