Affordable Housing 101 Stepping Up Ohio Summit 2018 Sally Luken - PDF document

10/17/18 Affordable Housing 101 Stepping Up Ohio Summit 2018 Sally Luken President, Luken Solutions with support from Peg’s Foundation Review Basics Of Affordable Housing 1. What is affordable housing? 2. A Rule of Thumb for when housing is Not affordable 3. Why is housing affordability an issue in the US & Ohio? 4. Oh my gosh – what’s being done about this? 1

10/17/18 Affordable Housing Is Relative Housing that is affordable comes in All • shapes, • types, • sizes, and • costs. What is affordable housing? Definition: Affordable housing is housing deemed affordable to those with a median household income [1] as rated by country, State (province), region or municipality by a recognized Housing Affordability Index Source: https://en.wikipedia.org/wiki/Affordable_housing 2

10/17/18 Sample Median Household Incomes Findlay $62,000 New Albany $215,000 Loveland $89,000 Photo credit: https://commons.wikimedia.org/wiki/File:Ohio_counties_map.png Rule of Thumb - When housing is Not affordable? Families who pay more than 30% of their income for housing are considered cost burdened and may have difficulty affording necessities such as food, clothing, transportation and medical care. Source: HUD available at https://portal.hud.gov/hudportal/HUD?src=/program_offices/comm_planning/affordablehousing 3

10/17/18 How Might a Household’s Income Be Spent? A Working ng, , sing ngle pa parent t with th one ne chi hild 12% 27% Housing 7% Food Transportation Childcare Healthcare Taxes 12% 32% 10% Average household expenses graph created based upon Columbus OH statistics from howmuch.net Change in # of Renter Households in the United States Image from: https://www.makeroomusa.org/get-informed/rental-trends/ 4

10/17/18 Change in Renters with Housing Cost Burden in the US Image from: https://www.makeroomusa.org/get-informed/rental-trends / Lack of Change in Low Income Workers’ Incomes Image from: https://www.makeroomusa.org/get-informed/rental-trends/ 5

10/17/18 Ohio Renters’ Incomes & Housing Affordability Only 2* of the top 10 occupations $15.25/hr. in Ohio pay employees enough to afford a modest two-bedroom apartment. Pay Rate Needed to Afford a 2 bedroom apartment * Median pay for Nurses $30.59/hr. & Customer Service Reps $15.34/hr. Source: Coalition on Homelessness and Housing in Ohio (COHHIO) at https://cohhio.org/wp-content/uploads/2018/06/OOR18-Release.pdf/ What if this is a low income household? A Working ng, , sing ngle pa parent t with th one ne chi hild 12% 27% Housing 7% Food Transportation Childcare Healthcare Taxes 12% 32% 10% Average household expenses graph created based upon Columbus OH statistics from howmuch.net 6

10/17/18 What are ways to afford housing? • Chose a different apartment/house • Work more than one job • Have a roommate to share the rent • Get married and have a spouse with contributing income • Increase skills & education to raise your potential income • Acquire a federal rental subsidy • Apply to live in public housing (which has mandated lower rents) • Apply to live in a private “affordable housing project” (which may have lower rents) Why housing advocates do what they do “The federal government spends more than three times as much on tax subsidies for homeownership — more than half of which benefits households with incomes above $100,000 — as on rental assistance.” Source: https://www.cbpp.org/research/housing/policy-basics-federal-rental-assistance • $750/mo SSI check = $4.32/hr. • 3 out of 4 eligible low-income renter households in the US do not receive federal rental assistance • Wait lists • NIMBYISM persists 7

10/17/18 What will it take to help disabled people with housing? • Partnerships – Private & Public are Key • Advocacy for equity in federal investment in rental housing on par with homeownership – expand rental subsidies! • Advocacy to retain and grow the Ohio Housing Trust Fund • Advocacy to retain and grow the National Housing Trust Fund • Enticements of capital investors to expand • Enticements of private landlords to partner • Capacity building of partners, developers, property managers to build and maintain • Preservation efforts to retain and improve what exists Making Progress Despite the Challenges • COHHIO & the Ohio Housing Trust Fund • CSH • Enterprise Community Partners • Federal Dept. of Housing & Urban Development (HUD) • Federal Home Loan Banks • Federal Housing Trust Fund • Local ADAMH Boards • Local Public Housing Authorities • Local Homeless CoCs • Managed Care Organizations • NAMI- Ohio • Ohio Capital Corp for Housing • Ohio Dept. of Rehabilitation & Corrections • Ohio Development Services Agency • Ohio Housing Finance Agency • Ohio Mental Health & Addiction Services agency • Private & Community Foundations • Private & Nonprofit housing developers and operators Photo credit: EDEN and Cleveland Housing Network: Cleveland OH ;Greenbridge Commons 8

10/17/18 Expanding Partnerships – we need you! Questions, Comments? Sally Luken sally.luken@lukensolutions.com (614) 946-0313 Thanks to Peg’s Foundation for it’s commitment to this work . 9