By Jennifer Wilding and Steven Howland

The Federal Reserve Bank of Kansas City community development team conducted a survey in 2021 to assess the challenges of making more housing affordable in the Tenth District. The survey reached a mix of stakeholders in the housing field and sought opinions rather than numerical data. Stakeholders also identified additional challenges, trends and solutions they most wanted to try.

For the last decade, demand for quality homes at a fair price far outstripped the supply in many communities, including the seven-state region served by the Federal Reserve Bank of Kansas City. In several communities across the Tenth District, even middle-income households struggle to afford housing. The affordability issue was exacerbated throughout the COVID-19 pandemic due job insecurity and skyrocketing housing prices. If the trend continues, the gap between what workers can afford and the housing available to them may grow wider.

In 2021, the Kansas City Fed community development team conducted a survey to better assess the challenges of making more housing affordable to low- and moderate-income (LMI) populations. The survey did not seek numerical data about housing, as sufficient data were already available. Instead, we were looking for a way to address the topic. The issue of housing is massive, with many moving parts. We wanted to know what challenges our Tenth District stakeholders saw as most important and what solutions they most wanted to try. Their responses were expected to provide a baseline for understanding the housing issues across the District while also providing avenues for us to identify policies and learning opportunities to help our communities make headway against their housing challenges.

Aspen Institute report provides a starting point

Like many other researchers, the Aspen Institute sought to understand what was happening in the housing market. They went a step further than others, exploring the system within which housing works…or doesn’t work. The Aspen Institute found that, since 2000, the U.S. housing system has come under increasing pressure:

“While the drivers of housing unaffordability and instability have deep roots in U.S. history—reflecting centuries of policy choices and patterns of racial and socioeconomic exclusion—since 2000 economic trends have diverged from historical trends to exacerbate the challenges and affect people farther up the economic ladder. The long-term pattern of hand-in-hand growth of home prices and household incomes has been replaced by housing costs rising faster than the general inflation rate, outstripping the income growth rate every year.”

Strong Foundations: Financial security starts with affordable, stable housing, Aspen Institute, January 2020, pp. 2-3.

The problem has grown since the Great Recession and with the pandemic

Since the Great Recession ended in 2009, the growth in housing prices nationally has accelerated. Even before the pandemic, the Federal Housing Finance Agency’s housing price index reached record highs. Home prices only grew more out of reach to LMI households throughout the pandemic. LMI households hoping to purchase a house following the slump in home values during the Great Recession were quickly locked out of the housing market, and their ability to purchase a home today is only that much less.

“The long-term pattern of hand-in-hand growth of home prices and household incomes has been replaced by housing costs rising faster than the general inflation rate, outstripping the income growth rate every year.” Rent prices have followed similar trends as owner-occupied homes. Over the last decade, moderate-income households (those earning between $30,000-$75,000) have substantially increased their share of households spending more than 30% of their income on rent, which the U.S. Department of Housing and Urban Development considers housing burdened. While home prices locked moderate-income households out of the home-buying market, rising rental prices also made it more difficult to save for a down payment. This has increased competition for rental units as the flows of households transitioning from renter to owner has slowed. To add to the difficulties of affording rent, saving for a down payment, or purchasing a home, wage growth since the Great Recession has been slow and well below long-term average.

One reason home prices for both owners and renters have hit record highs is reduced housing construction since the Great Recession. During the 1990s the U.S. was producing, on average, 1.3 million homes a year (both single and multifamily). And from 2000-2007, the U.S. produced 1.8 million homes, annually. Since 2009, only 1 million homes a year were built, on average. At that pace, the U.S. had a deficit of nearly 3.5 million homes in 2021 compared with construction rates of the 1990s. Consequently, we’re left with a big deficit of homes and a big question of why we are not producing as many as previously.

Aspen Institute identifies challenges

The Aspen Institute report detailed the four key dimensions of housing unaffordability and instability:

insufficient supply

demand-side factors

racial/ethnic segregation and discrimination

the policy environment for renters.

We selected 25 challenges mentioned in the report that seemed most pertinent to the seven states of the Tenth District. Then we convened four focus groups to review the 25 challenges, cut where we could and framed them in a way that reflected conditions in our District.

Focus group participants were knowledgeable about the housing situation in their communities. We had one focus group online in each region in the Tenth District:

western Missouri and Kansas

Nebraska

Oklahoma and

the western states, including Colorado, Wyoming, and northern New Mexico.

Together, the focus groups helped us reduce the 25 challenges to the 18 most pertinent. The challenges, combined with four open-ended questions, comprised the survey.

Who participated in the housing survey?

The Kansas City Fed’s community development team wanted to hear from the range of perspectives that reflect the whole system involved in housing. We designed outreach with that goal in mind. The team contacted more than 100 organizations, asking them to share the survey with their membership, such as elected and government officials, landlords, nonprofits, labor and tenant organizations. We also sent emails to our database of community development practitioners and used social media and the Kansas City Fed website to reach others.

The survey was live from March 30 through April 28, 2021. It secured 248 valid responses.

About the survey respondents

Survey respondents came from all seven states in the Tenth District and reflected a range of roles in the provision of housing.

Findings related to challenges to affordable housing

Chart 1 shows all 18 challenges to housing and the number and percentage of times that all respondents chose them among their top five.

Chart 2 shows similarities and differences between rural and urban respondents.

Chart 3 shows that top concerns are fairly consistent across all seven states. Every zone agreed that the cost of construction materials and the ability of low-wage workers and moderate-income households to afford housing were top challenges.

Chart 1 Housing Challenges

Chart 2 Housing Challenges by Urban/Rural

Chart 3 Housing Challenges by Region

Is there another challenge you see having an impact?

After respondents chose their top challenges from the list of 18, we invited them to tell us of another challenge that was having a negative impact. While many echoed one or another challenge that was already on the list, several did strike us as distinct. The ones below were mentioned most often.

New residents with more money are pushing out those with less money.

Nobody, not even the wealthy, is immune from the effects of this migration.

“Resort markets drive up costs. Housing was affordable until the millionaires pushed the regular folks down the road. Then the billionaires pushed the millionaires down the road, which then pushes out the regular folks. People with good incomes now cannot afford to live in communities where they have been for decades.”

When housing prices go up, so does gentrification, pushing out long-time residents who can’t pay the higher property taxes and rents.

In redlined areas, the difference between the cost of construction and appraised value of new construction or gut rehabs is significant. “This prevents market-rate investors from participating UNLESS they bulldoze large areas and start over…which is the path to rapid gentrification.”

“We need housing NOW. We have a new hospital administrator and teachers who can’t come until we have housing.” Some communities have a “not in my backyard” response to providing less-expensive housing or increasing density such as through accessory dwelling units.

“Wealthy, opportunity- and amenity-rich neighborhoods fight against small and mid-scale development (the missing middle, etc.). It leads to rising prices and locks out less advantaged individuals and families.”

Critically low supply of homes and apartments at any price point are preventing economic growth.

“We need housing NOW. We have a new hospital administrator and teachers who can’t come until we have housing.”

“There is no housing stock for the influx of people moving to Wyoming. This has a negative impact on the State being able to diversify its economy from the energy sector and that is needed badly.”

Outside speculators are increasing competition and driving up housing prices for regular purchasers.

“Short-term rentals, e.g. VRBO and Airbnb, are taking inventory out of the long-term rental market used by the local workforce.”

“Buyers are having to give up inspections. If they’re giving up inspections to be competitive against a cash offer, who knows what challenges they will have after owning the home?”

In rural areas, developers won’t build new stock, and older homes are abandoned or held up in probate.

“Buyers are having to give up inspections. If they’re giving up inspections to be competitive against a cash offer, who knows what challenges they will have after owning the home?” “We are 45 minutes from a metro area. The costs to build or renovate are the same, yet we can’t get the same price here as in the metro area. This makes it difficult to bring in developers without subsidizing the project.”

“As the boomers’ transfer of wealth is occurring, the rural homes are being tied up in probate far too long or families just retain the asset without making it available to renters or home buyers.”

It’s not just the cost of lumber that’s skyrocketing. Land and infrastructure costs, such as paving and utility extensions, are also high, and sources of funding aren’t keeping up.

What trend do you see coming that policymakers should prepare for now?

Most trends mentioned represented a continuation or worsening of the current reality with perhaps a little wishful thinking thrown in the mix. But one trend – that the housing bubble will burst – would represent an abrupt change. The trends below were mentioned most often.

Inequality and gentrification will continue to displace people or keep them from housing.

The gap between worker wages and the cost of housing will increase.

The racial wealth gap will continue to widen.

Rising housing costs and rising property taxes will cause people to move their homes or businesses.

There will be increased competition for limited inventory of homes and apartments.

Populations will continue to grow, which cities and towns need to plan for.

The shortage of inventory will drive costs higher for owners and renters. “Renting will be the only option for the middle class. They will migrate to areas with less regulation and more inventory that can keep prices affordable.”

New technology, spurred on by the impact of climate change, will lead to new methods of construction and new features in housing.

Homes may be constructed using 3D printing and incorporate car charging stations.

Continued increases in costs, as well as extreme weather and fire, could affect housing.

As inflation grows and interest rates rise, the housing bubble will burst.

“Homeowners could potentially be upside down in their homes like what happened in 2010.”

Cities will adopt new zoning ordinances.

“There will be universal adoption of accessory dwelling unit zoning in all of Denver.”

Adapting zoning codes to encourage mixed-income neighborhoods with shared amenities.

The need to rehab existing homes will grow more critical, especially in suburban and rural areas.

“Older stock housing is three-fourths of the available housing in rural areas, and it’s not safe if the electrical, plumbing, HVAC are not updated.” “Suburban communities are facing blight and aging infrastructure and lower income families are forced into these neighborhoods with even fewer resources (than in urban areas), as public transit is minimal and vital resources are not within walking distance.”

“Older stock housing is three-fourths of the available housing in rural areas, and it’s not safe if the electrical, plumbing, HVAC are not updated.”

What change related to housing could take relatively little effort to produce a bigger result?

Several respondents said they hoped somebody else would be able to answer the question, as every idea they could think of would take a lot of effort. The following changes were mentioned most often.

Provide subsidies and assistance for housing developers.

Provide subsidies that would allow conversion of business buildings to housing units for LMI individuals.

Use subsidies and other incentives to encourage development of housing in rural areas.

Fund infrastructure, such as water and sewer, to lower development costs.

Ease the rules and regulations involved in building affordable housing.

Make more LIHTC (Low-Income Housing Tax Credit) funds available, with less red tape.

Providing funding and technical assistance to nonprofit housing developers.

Provide subsidies and incentives to developers of housing for moderate-income persons.

Revise zoning laws.

Revise zoning laws to increase density, such as through duplexes, accessory dwelling units, small apartment builds or smaller lot sizes.

Use inclusionary zoning to set aside a portion of new development for low- and moderate-income households.

Make zoning laws more consistent and equitable.

Reform land use codes to ensure long-term, generational affordability.

Provide subsidies and other assistance for renters and homeowners.

Infuse more federal funds into the system, such as through the Housing Trust Fund.

“Make it worthwhile for flippers and remodelers to invest in these old homes to upgrade them, and you’ll have lower-cost housing than refoundation-ing everything.” Reduce the down payment and provide low interest rates for low- and moderate-income home buyers.

Subsidize homeowners, such as the elderly, first-time buyers, and those with 80-120% area median income.

Support low-income renters through subsidies and laws.

Subsidize renters through vouchers and other methods.

Pass laws and policies that improve tenants’ rights. “Use an anti-retaliation statute and increase the filing fee for evictions to reduce the use of the courts for serial evictions.”

Intervene early to stop homelessness and invest in homes and transitional housing.

Encourage rehabilitation of existing houses.

Provide resources to rehab existing properties. “Make it worthwhile for flippers and remodelers to invest in these old homes to upgrade them, and you’ll have lower-cost housing than refoundation-ing everything.”

Inspect properties to ensure they meet codes. “License landlords to ensure that all rental properties are up to code before being rented.”

Provide rehab loans to individuals.

What interesting solution(s) to affordable housing have you seen, heard about or want to explore?

Several respondents mentioned land trusts, land banks or housing trusts and sometimes appeared to be using the terms interchangeably. Where the use of terms was unclear, this served as a guide:

Land trust = Land

Land bank = Buildings

Housing trust =	Funds

See Appendix A for definitions of land trusts, land banks and housing trusts.

Use creative options for affordable housing, such as small homes, duplexes, hotels and rooming houses.

Provide tiny or small homes, in permanent communities.

“Our city is in the final stages of developing a combined zoning / subdivision ordinance. We are going to try a tiny house village concept. I hope it is successful.”

Change zoning to allow smaller structures and greater density.

“Our city is in the final stages of developing a combined zoning / subdivision ordinance. We are going to try a tiny house village concept. I hope it is successful.” “Our bank has financed several builders who were able to purchase vacant lots and build starter homes and still make a respectable profit. However, state and local governments typically kill these projects due to endless requirements for higher priced materials, square footage minimums, etc.”

Promote use of duplexes and triplexes.

“Scott City (Kansas) had an area farmer diversify investments by building some two-bedroom / 1.5-bath fourplexes. It allowed elderly residents to move from larger houses but NOT into nursing homes and opened up those houses for first-time homebuyers.”

Convert buildings that weren’t intended for housing, such as hotels, schools, churches and office buildings, into housing.

Use alternative types of construction and materials, as well as labor and design.

Use alternative types of construction with lower cost building materials, such as 3D printed homes, modular homes, pallet and shipping container homes, and hempcrete construction.

Use alternative sources of labor and design, such as trade schools, prisons, and architecture schools at universities.

Use creative new ways to finance the building of affordable housing in urban and rural communities.

Public banking, social justice bonds, impact notes, innovative taxing and fees and other methods can help fund construction of affordable homes.

Provide flexible funding for affordable housing in rural areas, driven by what each community needs.

In our small community, “we LOVE that we are getting lots of people wanting to move here from Dallas and other urban places, but we are going to lose the opportunity if we can’t get housing FAST.”

“Without renovation and rehabilitation of the multifamily housing stock in New Mexico, much of which was built in the 1970s, there is a serious risk of losing many of those communities that are affordable.” “Offer PMI-type insurance covered by government to fill gaps between new construction and appraised value…in rural areas.”

Use new models for financing homes.

“Create a metro district where tax increment from a gentrifying neighborhood is utilized for down payment assistance for LMI residents in the same neighborhood.”

Use housing trusts to invest in housing solutions.

Adopt creative strategies to preserve existing housing stock.

Rehab existing housing, as it’s cheaper than new construction.

“Without renovation and rehabilitation of the multifamily housing stock in New Mexico, much of which was built in the 1970s, there is a serious risk of losing many of those communities that are affordable.”

“Kansas City is offering abandoned houses for pennies on the dollar. We need some funding source to help programs rebuild them.”

Use land banks to deal with existing buildings.

Provide small grants to fix broken houses.

Grants of $250 or less can “remediate housing deficiencies before they become major, allowing families to remain in homes.”

Use new ways to make mortgages affordable for individuals.

Options could include cooperative share loans, shared equity ownership models, matched savings accounts, and more.

Help people facing homelessness.

Prevent people from becoming homeless through Medicaid-funded housing interventions, financial literacy training, and wraparound services.

Give tenants the right to legal counsel when facing eviction.

Use community land trusts to provide land at a low cost.

“Use land trusts or long-term affordability covenants to secure affordable homeownership supply over time.”

Encourage mixed-income developments.

Use holistic methods that engage a variety of stakeholders, including the community, in finding solutions.

“The neighboring movement is having incredible impact on neighborhood safety and self-sufficiency. . .” “The neighboring movement is having incredible impact on neighborhood safety and self-sufficiency by re-introducing tenants and homeowners to the concept of knowing your neighbor.”

“The involvement of community groups in researching and meeting with groups that approve tax abatements to establish more communication and working relationships with them.”

What happens next?

The survey did what we intended it would do: it helped narrow the possibilities to those most important to stakeholders in the Tenth District. We reviewed all the results, paying special attention to the challenges and to innovative solutions people said they most wanted to try. We chose these for a closer look:

Alternative types of construction with lower costs, and how to encourage their use.

Rehab of existing housing stock, making rehab accessible to LMI homeowners, landlords, and governments in urban and rural areas.

Creative ways to make mortgages affordable, such as land trusts and shared equity ownership models.

Options for providing subsidies and incentives to developers of housing for LMI individuals, including creative options such as public banking, social justice bonds and impact notes.

Know of promising solutions?

In 2022 and 2023, we will publish articles about each of the four topics. We will focus on solutions rather than further defining the problem. Our goal is to provide practical information that our communities can use to help get people into safe, decent and affordable places to live.

Survey respondents mentioned groups and programs that are making a difference, and we’ll follow up on those. If you know of a success story related to any of the four topics, we’d appreciate hearing from you. Send an email to Jennifer.Wilding@kc.frb.org. Here is what we need:

A paragraph or two explaining your personal connection to the success story and how you know it’s successful.

A link to the website, report or other information that provides more information.

To make sure you receive a copy of the articles, enter your contact information, then check the “community development” box to sign up for our newsletter and other publications.

Appendix A: Land trust / bank and housing trust definitions

Term	What’s involved	Definition
Community land trust	Land	Land trusts can be used for estate planning, but in this case we are referring to community land trusts. The definition from Community-Wealth.org: Community land trusts are nonprofit, community-based organizations designed to ensure community stewardship of land. Community land trusts can be used for many types of development (including commercial and retail), but are primarily used to ensure long-term housing affordability. To do so, the trust acquires land and maintains ownership of it permanently. With prospective homeowners, it enters into a long-term, renewable lease instead of a traditional sale. When the homeowner sells, the family earns only a portion of the increased property value. The remainder is kept by the trust, preserving the affordability for future low- to moderate-income families. The length of the lease (most frequently, 99 years) and the percentage earned by the homeowner vary. Ultimately, by separating the ownership of land and housing, this innovative approach prevents market factors from causing prices to rise significantly, and hence guarantees that housing will remain affordable for future generations. Today, there are around 277 community land trusts across the United States.
Land bank	Buildings	Definition from localhousingsolutions.org: Land banks are public authorities or non-profit organizations created to acquire, hold, manage, and sometimes redevelop property in order to return these properties to productive use to meet community goals, such as increasing affordable housing or stabilizing property values. Land banks can play a number of different roles depending on a community’s development goals, including: (a) providing a mechanism for assembling parcels of tax-delinquent or abandoned properties for redevelopment; (b) acquiring and holding strategically valuable properties until the community can develop them as affordable housing, and; c) acquiring properties to convert to other uses such as retail, parks, or open space for flood mitigation. In addition to acquiring and holding land, land banks can maintain, rehabilitate, demolish, and lease or sell property. Land banks are most commonly established in localities with relatively low or declining housing costs and a sizeable inventory of tax-delinquent properties that the community wants to repurpose to support community goals. In high-cost localities, however, where there are few tax delinquent properties, land banks can serve as a vehicle for holding land purchased strategically for future affordable housing development.
Housing trust (sometimes called housing trust funds)	Funding	Definition from Community Change and its housing trust fund project: Housing trust funds are distinct funds established by city, county or state governments that receive ongoing dedicated sources of public funding to support the preservation and production of affordable housing and increase opportunities for families and individuals to access affordable homes. Housing trust funds systemically shift affordable housing funding from annual budget allocations to the commitment of dedicated public revenue. While housing trust funds can also be a repository for private donations, they are not public/private partnerships, nor are they endowed funds operating from interest and other earnings. There are now 47 states with housing trust funds, as well as the District of Columbia, Guam, and Puerto Rico, and more than 750 city and county housing trust funds in operation. Housing trust funds are extremely flexible and can be used to support innovative ways to address many types of housing needs. The model can work in virtually any situation. They have been created to serve small towns of about 1000 people as well as in the largest states in the country. These funds are also very efficient. Many housing trust funds report highly successful track records addressing a wide range of critical housing needs.

Appendix B: Housing reports

These resources can help you find useful information about housing in the nation and in the seven states of the Tenth District.

THE ASPEN INSTITUTE

Strong Foundations: Financial Security Starts with Affordable, Stable Housing

In 2019, Aspen EPIC (the Expanding Prosperity Impact Collaborative) recognized rising housing costs and instability as critical threats to the financial security of American families and created a comprehensive research primer on the topic. Drawing on extensive review of the research literature, engagement with more than 100 experts, and analysis of federal survey data, they prepared a research brief and primer, “Strong Foundations: Financial Security Starts with Affordable, Stable Housing.”

EPIC is an initiative of the Aspen Institute Financial Security Program, which investigates economic forces that severely affect the financial security of American families. Following the primer, it released a report focused on potential solutions.

Strong Foundations: Housing Security Solutions Framework

In 2021, Aspen said there was a window of opportunity for federal, state and local leaders in all sectors to fix the underlying drivers of housing insecurity. Policymakers have a chance to make housing policies and programs more equitable and expand access to both subsidized and market-rate affordable housing. Business leaders also have important roles to play in supporting housing security and promoting housing affordability in their communities. “Strong Foundations: Housing Security Solutions Framework” offers an overview of solutions housing stakeholders can pursue, as well as principles and a process leaders can use to tailor the most appropriate solutions to meet their communities’ needs.

JOINT CENTER OF HOUSING STUDIES OF HARVARD UNIVERSITY

America’s Rental Housing 2022

America’s Rental Housing 2022 was prepared by the Harvard Joint Center for Housing Studies. The Center advances understanding of housing issues and informs policy. Through its research, education, and public outreach programs, the center helps leaders in government, business, and the civic sectors make decisions that effectively address the needs of cities and communities. America’s Rental Housing 2022 is a comprehensive look at factors having an impact on the rental housing market and on renters.

NATIONAL LOW-INCOME HOUSING COALITION

Housing Needs by State

NLIHC educates, organizes and advocates to ensure decent, affordable housing for everyone. Its 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. Housing Needs by State provides an overview of housing data for each state.

COLORADO

Affordable Housing: Guide for Local Officials

The Colorado Department of Local Affairs provides this housing guide because it believes a development strategy based on understanding the housing market and the needs of the community will provide opportunities for young people and single households, as well as ensuring the welfare of vulnerable members of the population with safe, decent, and affordable options for the elderly and disabled. The report, written for local government officials, offers a framework for developing a local market assessment as well as 10 tips for local governments.

Affordable Housing Survey Report

Colorado Counties, Inc., seeks to encourage counties to work toward solutions of problems related to county and local government. The Affordable Housing Survey Report demonstrates how Colorado counties are rising to the challenge caused by the state’s skyrocketing population, scarce labor and commodities, booming second-house market, and years of underbuilding. CCI received survey responses from all 64 counties in Colorado, and the report outlines current county actions to address housing needs, their top priorities, impacts from the COVID-19 pandemic, and more.

KANSAS

Kansas Statewide Housing Needs Assessment 2021

Kansas Housing Resources Corporation (KHRC) is a self-supporting, nonprofit, public corporation that serves as the primary administrator of federal housing programs for the state of Kansas. In 2021, KHRC and the Office of Rural Prosperity launched the state’s first comprehensive housing needs assessment in nearly 30 years, aiming to address a decades-long shortage of data on existing housing resources and current and projected needs. A lack of quality, affordable housing is widely recognized as one of the state’s biggest barriers to growth and development, particularly in rural and underserved communities. The Office of Rural Prosperity’s Housing Work Group, an interagency team of state leaders, identified a comprehensive assessment as the crucial first step in addressing the state’s housing needs and identifying development priorities. The report is available online, including interactive story maps that use multimedia tools to display report findings.

MISSOURI

All Things Missouri: Housing Report

All Things Missouri is a free, online platform designed to support decision-makers in accessing, analyzing, and visualizing data about their communities. The goal is to provide up-to-date, quality data across sectors – business, nonprofits, governments, researchers and University of Missouri Extension staff. Its data can help Missourians better understand community needs, allocate resources and make more data-informed decisions. All Things Missouri was created by the Center for Applied Research and Engagement Systems (CARES) at the University of Missouri. The Housing Report is a searchable database that offers an array of data indicators related to housing by county or other geographic breakdowns.

NEBRASKA

City of Omaha 2021 Affordable Housing Report

The Nebraska Legislature passed LB 866 in 2020, requiring that cities of the metropolitan, primary and first class must submit a report to the Urban Affairs Committee of the Legislature detailing its efforts to address the availability of and incentives for affordable housing through its zoning codes, ordinances and regulations. The City of Omaha published its first biannual affordable housing report in 2021.

NEW MEXICO

2020 New Mexico Affordable Housing Needs Assessment

Produced annually by the New Mexico Mortgage Finance Authority, the needs assessment

organizes data by county population. The data are current as of May 2020 and are drawn from: American Community Survey; United States Commercial Real Estate Service Albuquerque and Santa Fe Multi-Family Market Survey; University of New Mexico Bureau of Business and Economic Research Apartment Survey; the New Mexico Coalition to End Homelessness; and other sources. The New Mexico Mortgage Finance Authority is a self-supporting quasi-government entity that provides financing to make quality affordable housing available to low- and moderate-income New Mexicans.

OKLAHOMA

Oklahoma Affordable Housing Needs Assessment

Three partners – the Oklahoma Department of Commerce, U.S. Department of Housing and Urban Development and Oklahoma Housing Finance Agency – compiled a comprehensive statewide affordable housing needs assessment in 2015. It was the first time a study of that scope had been conducted in Oklahoma in 15 years.

Separate reports for each of the 77 counties include projected housing trends and needs for the next 5 years. Each report includes:

An analysis of household compositions, populations and sub-populations

An assessment of communities in terms of their disaster readiness and preparation.

Comprehensive, city-specific data for larger counties.

WYOMING

Teton Region Housing Needs Assessment

The resort community of Jackson Hole, Wyoming, occupies the Teton Region, defined as Teton counties in Wyoming and Idaho, and Northern Lincoln County, Wyoming. An exhaustive study found the region requires 5,300 housing units to make housing affordable for local residents.

The study, reported on by Jackson Hole Community Radio, showed that if you earn your money locally, buying a home is likely out of reach. For example, the assessment found that someone who makes $60,000 a year would need to make eight times that amount to afford the median price of a home sold in the Teton Region in 2021.

Attainable Housing Toolkit

The goal of the housing toolkit is to assist communities in discussing the importance of attainable housing. Attainable housing isn’t just an issue of lack of places to live – it’s an issue with having a strong economy. To attract and retain jobs, there must also be a place for these employees to live. This toolkit explains the issues surrounding attainable housing, as well as providing resources to guide communities through the journey to provide adequate housing. The toolkit is a product of the Wyoming Business Council, which collaborates with other state agencies and stakeholders to tackle local, regional and statewide issues.

In addition, the Wyoming Business Council produced a zoning toolkit, a "how to" and best practices guide for Wyoming communities to learn how to align local development codes with their housing goals.

The Aspen Institute, Strong Foundations: Financial Security Starts with Affordable, Stable Housing, A Research Primer. (2020). https://www.aspeninstitute.org/wp-content/uploads/2020/01/Financial-Security-Starts-with-Affordable-Stable-Housing_2020.pdf

Federal Housing Finance Agency Housing Price Index, purchase-only index (1991-2022). https://www.fhfa.gov/DataTools/Downloads/Pages/House-Price-Index.aspx

S&P/Case-Shiller U.S. National Home Price Index, retrieved from FRED, Federal Reserve Bank of St. Louis. https://fred.stlouisfed.org/series/CSUSHPISA

Joint Center for Housing Studies of Harvard University, America’s Rental Housing. (2022). https://www.jchs.harvard.edu/sites/default/files/reports/files/Harvard_JCHS_Americas_Rental_Housing_2022.pdf

Federal Reserve Bank of Atlanta. Wage Growth Tracker. https://www.atlantafed.org/chcs/wage-growth-tracker?panel=1

U.S. Census Bureau, Building Permits Survey. https://www.census.gov/construction/bps/

Steven Howland is an assistant economist in the community development department of the Federal Reserve Bank of Kansas City. Jennifer Wilding is a community development specialist at the bank. The views expressed are those of the authors and do not necessarily reflect the positions of the Federal Reserve Bank of Kansas City or the Federal Reserve System.