The Solution to the Urban Housing Crisis is in our Backyards
James (Jim) Anthony
CEO at APG Companies, with extensive Real Estate investment & development background. Using the gifts of God to build people and places for better lives.
What if there was a housing solution which increased municipal income while simultaneously raising income for tax payers? What if this could happen at zero cost to the government OR to the development community? What if municipalities could even make money off a massive new provision of affordable housing units? What if it took cars off roads and commute times were shortened? What if negligible stress were placed on our existing utilities and transportation infrastructure by simultaneously adding massive numbers of new housing units?
You think I'm crazy? Well I'm not, and here's why. Let's pretend for a moment that your state legislature enforced a ban against all municipal bans of nanny/granny flats in single family homes. Then let's further pretend that municipalities actually got serious about making attainable housing available (my new phrase to replace the radioactive term "affordable housing") by encouraging the construction of nanny/granny flats within the confines of existing single family homes or their garages. Let's further pretend that the encouragement even were to include offering loans to all willing homeowners at low interest rates to construct these rental units in their homes.
Now what? The city makes money off the interest on their loans, makes money from the increased property tax value and taxes, the owner of the home repays the debt with their new cash flow with plenty to spare, and new renters come into existing neighborhoods. No new roads, no new sewer or water lines, no new trash routes, no new police stations, no new storm-water, and no tax credits or subsidies. All with on site property managers overseeing the behavior of their tenants. What's not to like?
Have you ever seen so many winners? Homeowners, families, renters, lenders, contractors, subs, municipalities, and the general population of a town or city all win because now more people are safely housed at affordable rates. Maybe the greatest benefit of all has inestimable value: People would be getting to know more diverse people. The community would grow in depth and breadth and commitment to one another. Folks, this is the way it was in America before we bought the lie that we all had to have our very own place, separated from everyone else. In fact I would like to advocate that cities lead in the promotion of this strategy with orchestrated campaigns to encourage in-home rentals. Surely if we can share cars, we can share homes.
In the meantime, let's get the affordable housing boom going as soon as possible. Talk to your city councilors and staff, and advocate now for this solution that is so readily attainable. Time's a wasting and needy folks are waiting.
Sales, Brokering & Business Consulting
7 年Thank you Jim for this article. It was refreshing to read the reminder that shared housing is not a new idea. In fact early American households were reflective of not only multi-generational family members but may have often included, live-in help, travelers and other guest of the owner. I live in California and in January of 2017, California passed the Accessory Dwelling Unit (ADU) laws (SB 1069, AB 2299 and AB 2406) which are a step toward restoring some of the ways we all lived hopefully moving us toward a more inclusive society as a whole.
The idea has some merit. It could work for some people with the character traits that could make them a good landlord. But there are downsides, too. Many folks may not want any more density in their neighborhood. More people means more noise (cars, dogs, music), and more traffic on neighborhood streets. Further, tenants may not have the same values as homeowners, such as maintaining property in good condition even on the common areas of streets and sidewalks. A weak-willed landlord could fail to confront a difficult tenant making the neighborhood suffer. It happens. As a former landlord of rental property, even "good-people" can be very difficult when they are stressed or become unemployed. All that said, even if only 5-10% of homeowners were to do this, it could have a positive effect on urban housing.
Veteran Working for Veterans, their Family Members and their Beneficiaries
7 年The article sounds like everyone can do this; but, if my (and my colleagues') life experiences are any indication, not everyone SHOULD.
Interesting concept worthy of serious consideration. It is not without a downside – –Parking and other issues. Jim: would you take advantage of this opportunity at your home if it were available?