US Housing affordability

Along most of the California coast and in Hawaii less than a third of households can afford payments on the median-priced single family home.

‘By all accounts, Los Angeles is mired in an affordable housing crisis. More than 57% of Angelenos are “cost-burdened” — defined as paying more than 30% of one’s income for housing — according to a 2017 study from Harvard University. Only Miami ranked higher in the nation.

‘Mayor Eric Garcetti last year last year proposed addressing this in part through a “linkage fee,” a new tax on developers that would generate funds for affordable housing preservation or creation. The most current proposal could generate $100 million in revenue annually, according to a city report. That would subsidize an additional 1,500 units being created each year, according to the study.

‘After hearing hours of testimony on Tuesday, Aug. 22, the City Council’s five-member Planning and Land Use Management Committee unanimously approved the linkage fee. It now moves to the full City Council, though no date for a vote has been scheduled.’

Full story

The Harvard Report mentioned (44 pages, pdf)

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