If you want market rate housing, you can rely on the market. By definition.
If you want below-market rate housing, you can't. By definition.
No change to zoning or interest rates changes that. The market simply has more potential upside when those things happen.
In the wake of the S&L crises, the Federal Government crafted a scheme to provide below market rate housing using the sale of Tax credits. The reduction of corporate tax rates and wider use of trans-national financial engineering has devalued the tax credits underpinning that scheme.
Meanwhile Hope VI, removed the majority of subsidized housing inventory at all levels over the last thirty years.
But if you really want to understand what you are up against, the 1/3 of income for housing criterion is the same rate that landlords required of share-croppers on 1/3 shares (those that provided their own family's food and mule, those that couldn't were on 1/2 shares).
People not being able to buy a house is reversion to the mean...or just people you know falling into the fat part of the graph alongside all the people who couldn't afford a house before.
The market rate goes up at an artificially inflated rate due to constraints on housing construction. If you want affordable housing you build more housing. It’s basic economics.
If you want below-market rate housing, you can't. By definition.
No change to zoning or interest rates changes that. The market simply has more potential upside when those things happen.
In the wake of the S&L crises, the Federal Government crafted a scheme to provide below market rate housing using the sale of Tax credits. The reduction of corporate tax rates and wider use of trans-national financial engineering has devalued the tax credits underpinning that scheme.
Meanwhile Hope VI, removed the majority of subsidized housing inventory at all levels over the last thirty years.
But if you really want to understand what you are up against, the 1/3 of income for housing criterion is the same rate that landlords required of share-croppers on 1/3 shares (those that provided their own family's food and mule, those that couldn't were on 1/2 shares).
People not being able to buy a house is reversion to the mean...or just people you know falling into the fat part of the graph alongside all the people who couldn't afford a house before.