California’s housing supply continues to fall short with job and population growth. None deny the extreme relevance of proponents in congress to initiate conversation if not to create bills to initiate action. Supporters stress the need for radical change in the current approach to the housing crisis. Ambitious environmental goals exasperate review processes and local controls are strict on new developments making progress almost impossible in some areas. The traditionalist NIMBYs (Not In My Back Yard) contest the activism of the YIMBYs (Yes In My Back Yard) and the PHIMBYs (Public Housing in My Back Yard) who advocate for tenant’s rights, argue for more affordable housing calling for precedence on subsidization rather than on market-rate development which would neglect to improve the housing situation for low-income people. PHIMBY efforts are instead focused almost exclusively on the production of subsidized, below-market-rate units, and strengthening tenant protections and rent controls for existing residents. (Benjamin Schneider, CITY LAB)
Statistics have revealed that the median renter income has grown faster than the median rent for the last six consecutive years. However, there has also been an influx of high-income renters entering the market which may be a strong variable in the reporting. A new study published looked at cost burdened rates across the U.S. Some key findings about our own county included:
The number of cost-burdened renter households in San Luis Obispo, as defined by spending more than 30% of their incomes on rent has decreased by 4,687 since 2007. However, the cost burden rate in San Luis Obispo increased from 47.6% in 2016 to 51.8% in 2017 and is greater than the national average of 49.5%.
If you are tired of renting, call your REALTOR today for Low Income Home Loan Options for 2019!