Affordable housing discussion thread

[LoneStarMike]

And from KVUE:

Austin affordable housing gets new life
by KRIS BETTS / KVUE News and photojournalist ERIN COKER
June 27, 2013

Thursday the Austin City Council made another attempt to build more affordable housing in Austin. The council unanimously approved the next step to add an affordable housing bond on the November ballot.

In 2012 voters rejected a $78 million bond, and Mayor Pro Tem Sheryl Cole says the bond failed because its intent was unclear.

“The ballot language did not specify that the item was for affordable housing, and for women and children and veterans and the disabled community,” Cole said.

The story notes that Austin is the highest rental market in Texas and the 9th highest in the country.

Mandy DeMayo with Keep Austin Affordable believes that more affordable housing could decrease traffic by keeping people in the central areas of town close to where they work.

Proponents of the bond claim it will not increase the tax rate.

[LoneStarMike]

This article seems to fit in this thread.

Austin Post
Bill Oakley
May 13, 2014

This is an update of an article published last year on Bill Oakey's AustinAffordability.com

Austin is no longer a stepchild to Dallas or Houston. And its closer neighbor, San Antonio, barely registers on the national radar compared to Austin. The Capitol City now boasts F1, the X Games, South By Southwest, and a booming economy that appears unstoppable. But wait: Can a city experience too much of a good thing? Could Austin somehow become a victim of its own success? Not only is such a scenario possible, but many observers find it to be frighteningly probable. By reviewing numerous published articles, editorials, and data, both local and national, one can find compelling evidence that Austin is becoming so unaffordable so rapidly that we may be headed for another boom-and-bust cycle.

Whether or not you agree with the article, it does give some interesting statistics.

Austin has risen from the nation’s 17th largest city in 2000 to 11th in 2012.

From 2003 to 2013:

Property taxes rose 38% and rents rose 49%.
The median sales price for a home increased from $159,000 to $225,000.
The Travis County budget increased 81.1%, going from $449.5 million to $814.2 million.
The City of Austin budget has increased 73.7% from 2004 to the proposed 2014 budget, going from $1.9 billion to $3.3 billion.
The median income in Austin, adjusted for inflation, has stayed virtually flat since 2000.

The article concludes by asking:

Just close your eyes and try to imagine if our community could sustain another 10 years of budget increases of the same magnitude. Could you sustain it with your paycheck? Or would you just be looking at Austin in your rearview mirror?

[cvalkan]

Originally Posted by LoneStarMike

This article seems to fit in this thread.

Austin Post
Bill Oakley
May 13, 2014
...
From 2003 to 2013:

Property taxes rose 38% and rents rose 49%.
The median sales price for a home increased from $159,000 to $225,000.
The Travis County budget increased 81.1%, going from $449.5 million to $814.2 million.
The City of Austin budget has increased 73.7% from 2004 to the proposed 2014 budget, going from $1.9 billion to $3.3 billion.
The median income in Austin, adjusted for inflation, has stayed virtually flat since 2000.

For fair comparison either all or none of the items listed should be adjusted for inflation.

[Jdawgboy]

The issue is not so much about the city growing as it is the fact that housing options are limited and the people that are complaining about affordability are the same ones that are responsible for the situation we are in. There are many restrictions that were supported by neighborhood groups in an effort to limit development and population growth in the name of neighborhood preservation. The problem is they went overboard and overreaching and a variety of housing options greatly decreased.

Sure it's just one piece of a complex issue but it is a big piece.

As far as the article is concerned, trying to slow down growth is not the solution either. What is the city going to do, deny companies from moving or expanding here? Say no to any more festivals or events? Doing that would also be a disaster for the city.

Manage growth but don't slow it and get serious about building affordable housing.

[LoneStarMike]

Originally Posted by cvalkan

For fair comparison either all or none of the items listed should be adjusted for inflation.

That's a fair point. The average median household income was the only item adjusted for inflation in the article.

Not adjusted for inflation, the average median household income has risen 25% since 2001 according to a June 2013 report on the City's website.

http://austintexas.gov/sites/default...alysis_EPS.pdf

[The ATX]

Like JDawg alluded, the city (pushed by NIMBY activism) is directly affecting affordability with zoning. There is not just one single thing that is affecting affordability, but rather several things that all add up to increased prices by limiting supply:

1. Requiring every new house in the city to be handicap accessible
   
2. Anti-McMansion rules
   
3. Limits to the number of non-related people living in residences
   
4. Limiting building heights and density
   
5. Penalizing developers who want to build high by requiring payments to the "Affordable Housing" fund which increases prices for most people while helping very few
   
6. The bureaucratic and expensive permitting process

Most of these were meant as forward thinking, helpful rules. but when added up they greatly affect affordability. NIMBYs pushed for most of these, BUT NIMBYs already have a home and don't care about affordability and in many case prefer to keep prices high.