Cheshire, CT – (RealEstateRama) — New data released today in the National Housing Preservation Database (NHPD) shows that nearly 500,000 federally-assisted apartments or rental homes will reach the end of their current subsidy contracts and affordability restrictions for low-income families in the next five years. Nearly one in four of these units are funded by Low Income Housing Tax Credits (LIHTC). Previous experience suggests that as many as 8% (or 39,066) of these units could be permanently lost from the publicly-assisted and affordable housing stock, because their current owners could opt for the private market. President Trump’s proposed budget cuts to rental programs managed by the US Department of Housing and Urban Development (HUD) could potentially result in even more rental homes being lost due to insufficient funding.
The NHPD supports affordable housing preservation efforts by giving users the information they need to create strong plans for the preservation of publicly-assisted housing. Recently updated, the database allows users to estimate the size of the affordable housing stock in local areas and identify properties at risk of leaving the publicly-assisted housing stock, and develop preservation strategies.
Failing to preserve our nation’s publicly-assisted affordable housing stock will further hurt the nation’s lowest-income families at a time of unprecedented need. According to research by the National Low Income Housing Coalition (NLIHC), the nation already has a shortage of 7.4 million homes for extremely low-income renters. Failing to preserve the publicly-assisted affordable housing stock will also cost more money in the long-run. The Public and Affordable Housing Research Corporation (PAHRC) recently noted that the cost to rebuild and maintain these lost homes would be $6.4 billion over 50 years, compared to $4.8 billion to preserve and maintain the already-existing homes for 50 years.
NLIHC’s CEO and President, Diane Yentel, noted that “we cannot afford to lose any of the federally-assisted housing stock. The rental housing crisis is hitting the lowest-income renters particularly hard, while federal resources for new subsidized housing is insufficient. Maintaining our current stock is critical.”
The PAHRC and the NLIHC collaborate to produce the NHPD with support from HAI Group. Since its inception, the NHPD has provided more than 5,000 housing advocates, community leaders, affordable housing developers, researchers, and other housing-related stakeholders, access to an inventory of federally-assisted housing across the US that integrates information from multiple federal databases to help users identify affordable housing at-risk of being lost from the subsidized housing stock.
“HAI Group is proud to support the work PAHRC and NLIHC do when they join forces to enhance the NHPD,” said HAI Group’s President and CEO, Ed Malaspina. “The research is imperative to our members, as well as their advocates, developers, and other entities in the affordable housing community. Our members cannot afford to lose any of their stock, let alone the 488,332 units that are projected to be at risk of loss in the next five years. This is why we need to recognize the dire need to create sustainable plans for the preservation of housing.”
To locate the federally-assisted rental properties approaching their expiration date, users can register for the NHPD, view an interactive map, and access preservation profiles by state and summary reports by county.
About The Public and Affordable Housing Research Corporation
The Public and Affordable Housing Research Corporation (PAHRC) is HAI Group’s independent, non-profit research center dedicated to conducting research that promotes the national conversation about the importance of affordable housing. Through industry collaboration, data collection and independent research, PAHRC spotlights the impact, outcomes and value affordable housing brings to the families it serves and to the communities it supports. PAHRC also delivers data and tools that assist researchers, practitioners and advocates to build an evidence-based case for why affordable housing matters.
For more information about PAHRC, please visit http://www.housingcenter.com/research.
About The National Low Income Housing Coalition
Established in 1974, the National Low Income Housing Coalition (NLIHC) is dedicated solely to achieving socially just public policy that assures people with the lowest incomes in the United States have affordable and decent homes. NLIHC educates, organizes and advocates to ensure decent, affordable housing within healthy neighborhoods. NLIHC’s goals are to preserve existing federally assisted homes and housing resources, expand the supply of low income housing, and establish housing stability as the primary purpose of federal low income housing policy. Among the many research resources NLIHC produces each year are its Out of Reach and Affordable Housing Gap reports.
For more information about NLIHC, please visit http://nlihc.org.
About HAI Group
HAI Group is a family of companies founded by and dedicated to serving the public and affordable housing community. We deliver innovative, tailor-made solutions to protect assets, improve efficiency, empower employees, and move housing strategies forward. Our portfolio includes insurance, capital, research, advocacy, and learning solutions. As a member-owned organization, HAI Group has positioned itself as a recognized leader and expert in the public and affordable housing industry. Headquartered in Cheshire, Connecticut, HAI Group’s membership extends across the United States.
For more information about HAI Group, please visit https://www.housingcenter.com.