The critical need for affordable housing production 

Connecticut needs housing that helps strengthen families, strengthen neighborhoods, and strengthen the economy. This requires increasing the supply of housing through production of more affordable units.

In 2000, the Blue Ribbon Commission to Study Affordable Housing indicated that Connecticut needed 68,000 additional units of affordable housing.¹  Today, the need for more affordable housing in Connecticut remains great.  Data show that housing prices in Connecticut increased 62% from 2000 to 2008 while personal income rose only 39% during those years.²  In 2008, a household making median income could not afford the median sales price home in 117 of Connecticut's 169 towns.³ 

Renting is also challenging for Connecticut's moderate and low income residents.  A person must earn $21.60 an hour to afford the typical two-bedroom apartment in the state.⁴  Nearly half of the state's occupations have an average income that falls below the $21.60 housing wage.⁵  In addition, finding an apartment is increasingly difficult for the poor - recent studies indicate that for every affordable rental unit that becomes available, there are three low-income households in need of that unit.⁶   

Producing more affordable housing is key to a strong future 

• Housing production often involves renovation of old or blighted buildings. It can revitalize neighborhoods and boost the economic capacity of its residents and businesses.
  
  
• The current housing shortage hampers the economy in some parts of the state. Employees can’t find housing they can afford, so companies have trouble recruiting employees from other places. Further, businesses that consider relocating to Connecticut decide not to, because housing is too scarce and expensive.
  
  
• Housing production creates jobs and business opportunities for banks, retail suppliers, construction contractors, landscapers, insurers, utilities, transportation companies, information technology, and other industries.
  
  
• Funds spent on affordable housing production have an eight-fold economic benefit to the region.
  
  
• Connecticut has talented housing developers, technical assistance providers, financial experts and community leaders who work together to produce quality affordable housing. But the housing shortage will continue until more funding is available. A public-private partnership, with adequate funding, can ensure that every Connecticut citizen has a decent, safe, affordable place to call home.

Sources:
1. " Blue Ribbon Commission Final Report." State of Connecticut Blue Ribbon Commission to Study Affordable Housing.  2000. http://www.cga.ct.gov/hsg/brctsah/. 
2. "Growth in Connecticut Median Single-Family Housing Prices vs. Personal Income, 2000-2008." DataCore Partners, LLC.  Updated by Partnership for Strong Communities. 26 March 2009.  
3." Affordability in Connecticut, 2008." HOMEConnecticut.  5 May 2009.
<http://www.homeconnecticut.org/index.php?option=com_content&task=view&id=155&Itemid=1>
4. "Out of Reach, 2009." Connecticut Housing Coalition and National Low Income Housing Coalition. April 2009. <http://www.ct-housing.org/out_of_reach_2006.html>
5. Ibid.
6. Sasser, Alicia, Bo Zhao, and Darcy Rollins Saas. "The Lack of Affordable Housing in New England: How Big a Problem? Why Is It Growing? What Are We Doing About It?" New England Public Policy Center at the Federal Reserve Bank of Boston. 10 Jan 2007.  http://www.bos.frb.org/economic/neppc/wp/2006/neppcwp0601.pdf. 

Housing Policy & Production News