HomeMy WebLinkAboutCC Affordable Housing Updates - 10.15Monday October 15th, 2018Affordable Housing
Strategic Plan•4.5.b Develop a Comprehensive Affordable Housing Action Plan that includes but is not limited to:1. Mandates the creation of affordable housing across all dwelling unit types.2. Provides the prescribed flexibility in the manner in which the mandate can be accomplished.3. Provides a substantial, broad-based and reliable source of funding for the construction of affordable housing and for affordable housing loans.4. Actively encourages Bozeman’s major employers to develop workforce housing programs for their employees.
Gallatin Association of Realtors – Market Data$351,159$385,000$439,500$222,270$278,500$304,350$0$50,000$100,000$150,000$200,000$250,000$300,000$350,000$400,000$450,000$500,0002016 2017 2018Median Home Sale Price July 2016‐18Single Family HomesTownhomes
Rentals•Rental Rateso$1022 per month 2 bedroom•Rates continue an upward trendoVacancy Rates•Continue to sit around 0-1%American Community Survey 2012‐2016
Affordability30.0%30.0%50.1%41.4%0%10%20%30%40%50%60%Bozeman city, MT MontanaHousing Costs as a Percent of Household Income, 2016*Monthly cost >30% of household incomeGross rent >30% of household incomeHeadwaters Economic Profile System
33%15%11%15%20%6%% of Monthly IncomeHousingFoodHealth CareTransportationChildcareOtherAffordable HousingMIT Living Wage Calculator – Gallatin County, USA•When you pay more than 33% of your income to housing, it effects other areas.
Residential Construction TrendsType 2010 2011 2012 2013 2014 2015 2016 2017Single Household 143 161 247 388 283 266 296 350ADU 2 10 11 6 13 14 9 29Townhouse 21 4 38 74 77 24 72 53Duplex 8 8 2814403574112Multi (3+) 68 33 111 332 495 443 282 272Housing Starts by Type (# of Dwellings)Source: City of Bozeman Building Department
Affordable Housing•Goals of this evening’s presentationoUpdate on the Work Plan oHighlight Successes and ProgressoWhat’s Next?!
Work Plan
Work Plan
AHO Successes•AHO Projectso8 Homes – Lake at Valley West – Sold & Moved Into•All documentation and requirements seto6 Homes – West Winds Subdivision – Final Plat•1.4 homes paid out in Cash-in-Lieu
Affordable Housing Ordinance2018 Area Median Income (HUD non‐adjusted)Number of Persons in Household:Percentage Area Median Income1234570%$39,788 $45,472 $51,156 $56,840 $61,38780%$45,472 $51,968 $58,464 $64,960 $70,15790%$51,156 $58,464 $65,772 $73,080 $78,926100%$56,840 $64,960 $73,080 $81,200 $87,696
Affordable Housing Ordinance2018 Affordable Homes Pricing ChartAllowed Sales PricesStudio(AMI for 1‐person household)1‐2 Bedroom (AMI for 2‐person household)3+ Bedroom (AMI for 4‐person household)Lower‐Priced Home at 70% AMI$151,346 $173,291 $216,518Moderate‐Priced Home at 90% AMI $204,558 $233,936 $292,297
Affordable Housing Ordinance2018 Cash‐in‐Lieu Rates(Median Market Rate Sale Price (‐) Lower‐Priced Home Sales Price)1‐2 Bedroom 3+ BedroomFormula$229,374 ‐$173,291 $314,407 ‐$216,518Cash‐in‐Lieu$55,453 $97,889
Affordable Housing Ordinance•UpdatesoAdministrative Manual – Resolution 4918oUpdated Affordable Housing Application Form (AH) – for developersoSale Documents
Affordable Housing Ordinance•UpdatesoOutreach Materials – Buyers, Lenders, BuildersoTracking (all required documentation)oShort-term Rewrite – goes to Planning Zoning on Tuesday 10/16/2018•Changes to incentives, pricing structure and definitions
CAHAB Restructure•Passed by Resolution 4948 – 8/13/2018•Update to Roles & Responsibilities•Rebuilding a Quality Working Relationship•Membership changeo10 to 7 voting members (currently 1 open spot)oRemoval of HRDC from voting membership to Ex Offico role
Community Outreach•Gallatin Association of Realtors – Housing ForumoGood discussion around housing and the beginning stages of forming the Housing Needs Assessment Work Group•See the follow up document •Community Housing Online/Paper SurveyoAlmost 1000 responses•See the survey results
HRDC Update•Meetings with most local lenders to walk through the program•Gallatin Association of Realtors – Housing ForumoGood discussion around housing and the beginning stages of forming the Housing Needs Assessment Work Group•See the follow up document •Community Housing Online/Paper SurveyoAlmost 1000 responses•See the survey results
What’s Next•Community Housing Needs Assessment•Housing Work Plan•More Program Development with new Staff
The Housing ContinuumEmergency HousingSubsidized/Affordable rentingAssisted OwnershipSenior HousingSeasonal worker rentalsMarket rate rentalsMarket rate ownership•New Single Family & Town Homes•Provided by the developer•For Sale UnitsHRDC
Strategic Plan•Develop a Comprehensive Affordable Housing Action Plan that includes but is not limited to:1. Mandates the creation of affordable housing across all dwelling unit types.2. Provides the prescribed flexibility in the manner in which the mandate can be accomplished.3. Provides a substantial, broad-based and reliable source of funding for the construction of affordable housing and for affordable housing loans.4. Actively encourages Bozeman’s major employers to develop workforce housing programs for their employees.