WASHINGTON, D.C. – (RealEstateRama) — A study conducted by the Center for Outcomes Research and Education (CORE) found affordable housing reduced overall health care expenditures by 12% for Medicaid recipients. By comparing individuals’ Medicaid claims in the year prior to moving into affordable housing to their Medicaid claims in the year after moving in, researchers found an average total savings of $576 a year. Seniors and people with disabilities as well as permanent supportive housing reaped the greatest benefit by saving an average of $84 per month ($1,008 per year).
These savings can be attributed to a 20% increase of primary care services, and a decrease in emergency department visits by 18%, since emergency visits are much more expensive than primary care. Furthermore, access to care increased 40% while quality of care increased by 38%.
VHFA is excited to be helping to decrease health care costs of the thousands of home buyers and renters whose housing is made more affordable through our programs.