UrbP 223 Class 2

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UrbP 223 Class 2
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Homeownership rates National -
68.8 California- 60.2 S F Metropolitan Area
(SF, Marin, and San Mateo Counties) - 49 Santa
Clara - 63 Alameda-Contra Costa - 59 A
worker earning minimum wage (6.75 per hour) must
work 135 hours per week in order to afford the
average two-bedroom unit. Source Californias
Deepening Housing Crisis In 2000, of the
219,894 renter households analyzed more
than 40,300 households, or about 18 percent of
all renter households in Santa Clara County,
experienced severe rent burden. Source Housing
Silicon Valley A 20 Year Plan to End the
Affordable Housing Crisis In 2000, 465,340
families were on wait list for public housing or
subsidies in 20 jurisdictions currently 130,000
families live in pubic housing or receive
assistance. Source Californias Deepening
Housing Crisis
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Source The State of Nations Housing 2006.
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Source The State of Nations Housing 2007.
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According to Credit Suisse, the amount of
adjustable-rate sub-prime debt expected to reset
in 2007 and 2008 alone could be as much as 482
billion.
. severely cost-burdened households in the
bottom expenditure quartile had just 436 a month
left to cover all other needs in 2005.
Federal assistance to very low-income households
reaches only about one-quarter of eligible
renters and virtually no homeowners.
Source The State of Nations Housing 2007.
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Source The State of Nations Housing 2007.
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Source The State of Nations Housing 2007.
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Source The State of Nations Housing 2007.
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From less than five percent in 2002,
interest-only prime and nonprime loans accounted
for almost 30 percent of all originations in
2005, before falling back to 20 percent at the
end of 2006.
The share of payment-option loans grew even more
rapidly, more than tripling in just two years. In
2006, these loansallowing borrowers to defer a
portion of principal and interest by paying
credit-card-like minimums made up about 12
percent of originations.
.. as many as six million households could face
sharply higher mortgage payments in the next
three to five years if they do not refinance or
sell first.
Source The State of Nations Housing 2007.
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Alt-A loans, which fall between prime and
sub-prime loans on the risk spectrum, increased
from 2.7 percent of originations in 2001 to 13.4
percent in 2006
Sub-prime lending soared from near zero in the
early 1990s to 8.6 percent of originations in
2001 and 20.1 percent in 2006
Source The State of Nations Housing 2007.
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Loss through abandonment, conversion to
condos, demolition, and disasters
Source The State of Nations Housing 2007.
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Source The State of Nations Housing 2007.
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Despite meager gains in 2005, the median real
income for all households fell 2.7 percent
between 2000 and 2005. The lower the income
group, the greater the drop was in real wages.
Indeed, the incomes of households in the bottom
decile fell some 10.4 percent over this period.
Source The State of Nations Housing 2007.
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Despite about 38 billion in annual
appropriations for housing and community
development, the federal government has been
unable to assist more than a quarter of eligible
renters. And even with another 4.7 billion in
annual expenditures from federal tax credits to
build and rehabilitate affordable housing, the
government has made little progress in stopping
the loss of low-cost rentals from the
nations housing stock.
Source The State of Nations Housing 2007.
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State and local regulations are among the
principal culprits behind the nations persistent
affordability problems. By limiting the land
available for and density of new development, as
well as imposing impact fees and subdivision
requirements that raise production costs, state
and local governments make it difficult to build
affordable housing. While many of these
regulations serve other public policy purposes,
they exacerbate affordability pressures.
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