How Well are Minnesotans Housed? Housing Trends and Policy in - - PowerPoint PPT Presentation

How Well are Minnesotans Housed?

Housing Trends and Policy in Minnesota

Sarah Berke, Director of Strategy & Partnerships Atticus Jaramillo, Research Associate

Agenda

• About MHP
• Housing data trends
• Where to fjnd the data
• Policy updates:
• Minnesota legislative session
• Federal and regional policy issues
• Communicating about housing data

MHP’s mission

Minnesota Housing Partnership (MHP) convenes, guides, and supports a diversity of partners working to improve conditions of home and community. Building on decades of experience, we strengthen development capacity and promote policies that expand opportunity, especially for people at the lowest income levels.

Our history

• MHP is 25+ years old
• Providing technical assistance for HUD federal programs since 1995

in Minnesota, plus USDA Rural Development technical assistance.

• Since 2009 MHP has been providing technical assistance across the

country in several different HUD programs including NSP, HOME, CDBG, ICDBG, CDBG-DR, Rural Capacity Building, and HUD Sustainable Planning Grants.

mhponline.org

Our Work

Capacity Building

Strengthen the ability of organizations to build and preserve housing and community assets. From innovative community planning practices to knowledge of complex federal housing programs, our fjnancial and technical expertise benefjts state and local organizations.

Research

Provide original research and education resources to generate public support of vital communities and affordable housing.

Policy Work

Drive efforts to secure the policies and funding needed at the regional, state, and federal levels to advance local housing and community development. mhponline.org

Overview of Housing Trends

mhponline.org

Cost Burden Homelessness Workforce & Senior Needs Disparities Homeownership Rental Need

Increasing Housing Cost Burden

• Cost Burden = 30% or more of your annual income going towards housing

Percent Change in Proportion of Minnesota Residents Experiencing Housing Cost Burden (2000-2014)

42% All Residents 25% Renters 33% Owners

Housing Cost Burden in Minnesota from 2000-2014

16.6% 24% 36.9% 46% 22.4% 30%

0% 10% 20% 30% 40% 50% 60% 2000 2002 2004 2006 2008 2010 2012 2014 Owners Renters All Residents

Cost Burden by Occupation

$50,562 $33,400 $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000

Elementary School Teacher Liscensed Practical Nurse Police Officer Food Preparation Retail Sales Person

Income Needed to Own Median Priced Home in 2014

Rental Need Across Minnesota

Renter Cost Burden by Income

Under $20,000 $20,000 - $34,999 $35,000 - $49,999 $50,000 - $74,999 $75,000 or More

Percent of Earnings Towards Housing by Income Group in 2014

Less than 20% 20% - 29% 30% or More

4% 12% 84% 7% 24% 68% 20% 47% 33% 49% 39% 12% 79% 18% 2%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

174,971 121,353 88,759 89,524 80,107 Less than $20,000: $20,000 to $34,999: $35,000 to $49,999: $50,000 to $74,999: $75,000 or more:

Median Rent & Renter Income

Change in Rent & Renter Income, MN (2000-2014) Rent +6% Income -16%

2.3% 1.7% 2.9%

0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% 8.0% 9.0% 2010 2011 2012 2013 2014 2015

Vacancy Rate Vacancy Rate, $1000 or Less Quarterly Unemployment Rate

Twin Cities Rental Vacancy Rate Marquette Advisors, 2010-2015

Units Issued New Building Permits

28.3% 24.3% 42.9% 35.8% 37.1% 42.3%

2,000 4,000 6,000 8,000 10,000 12,000 14,000 2010 2011 2012 2013 2014 2015

New Building Permits Issued in the Twin Cities American Community Survey, 2010-2015

1 Unit Buildings Units in 2+ Unit Buildings

Minnesotans Experiencing Homelessness

• n a Single Night

3,079 4,553 5,645 7,696 7,854 7,751 9,654 10,214 9,312 1991 1994 1997 2000 2003 2006 2009 2012 2015 Wilder Statewide Homelessness Study Data

Between 2012 & 2015, the number of people experiencing homelessness decreased by 9 percent. However the number of homeless individuals living in Minnesota is still higher than it was prior to the recession

Homelessness in Minnesota, Wilder

• Children – any person

under 18 experiencing homelessness with a parent or guardian

• Unaccompanied

Youth – any person under the age of 18 identifjed as homeless without a parent or guardian

Unaccompanied Youth & Children Experiencing Homelessness

Owner Cost Burden by Income

Under $20,000

9% 14% 77% 28% 22% 49% 40% 22% 39% 45% 31% 25% 69% 24% 7% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

$20,000 - $34,999 $35,000 - $49,999 $50,000 - $74,999 $75,000 or More

Percent of Earnings Towards Housing by Income Group

109,339 160,817 182,816 306,269 759,127 Less than $20,000: $20,000 to $34,999: $35,000 to $49,999: $50,000 to $74,999: $75,000 or more:

Less than 20% 20% - 29% 30% or More

Homeownership

72% 72% 72% 72% 75% 77% 72% 65% 67% 69% 71% 73% 75% 77% 79% 1960 1970 1980 1990 2000 2003 2014

Minnesota Homeownership Rate Since 1960 U.S. Census Bureau & American Community Survey 1960-2014

Mortgage Delinquencies & Foreclosures

7,258 1,615 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 2010 2011 2012 2013 2014 2015 Number of Foreclosures Filed in Minnesota 2010-2015, Quarterly

Greater MN

• St. Cloud

Rochester Duluth Twin Cities

Since 2008, the total number of foreclosures in Greater Minnesota dropped by 54.2% and the number of foreclosures in the Twin-Cities dropped by 76.6%

Workforce Housing in Minnesota

$1,964 $818 $589 $416 $244 $707 $894 $0 $500 $1,000 $1,500 $2,000 Affordable to median income family Affordable to median income renter household Affordable to extremely low income household Affordable to full-time minimum wage earner Affordable to SSI recipient One-bedroom Fair Market Rent Two-bedroom Fair Market Rent

Rents Minnesota Households Can Afford, Compared to Fair Market Rents

Out of Reach 2015. Minnesota Housing Partnership and National Low Income Housing Coalition.

Number of Hours Per Week Minimum Wage Earners must work to Afford Median Priced 1 BR apartment

Workforce Housing & Transportation

Aging Workforce Housing, Greater MN

Renter Occupied - 2015 Owner Occupied - 2015

Senior Housing Needs in MN

0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 1950 1960 1970 1980 1990 2000 2010 2014 2020 2025 2030 2035 2040 2045 2050 2055 2060 2065

Population Age 65 Years and Older Minnesota, 1950-2045

Percent of Total Population Total 65+ Population

47,567 47,785 52,316 53,905 54,448 53,605 55,378 53,610 55,856

2006 2007 2008 2009 2010 2011 2012 2013 2014

Seniors Experiencing Poverty Minnesota, 2006-2014

Senior Housing Needs in MN

Racial/Ethnic Disparities In Housing

77% 55% 46% 43% 24% White Asian American Indian/ Alaskan Native Hispanic/Latino Black

Homeownership Rate by Race/Ethnicity Minnesota, 2014

There is only a 1 in 18 chance people who identify as White are extremely low-income (ELI), but there is a 1 in 5 chance that people who identify non-white or Hispanic/Latino are ELI

Racial/Ethnic Disparities in Homelessness

39% 35% 43% 36% 39% 42% 86% 42% 47% 40% 43% 40% 38% 5% 9% 11% 9% 11% 11% 10%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 1997 2000 2003 2006 2009 2012 2012

Minnesotans Experiencing Homelessness by Race & Ethnicity, 1997-2012 vs. General MN Population, 2012

Not specifjed Asian or Pacifjc Islander Multi-racial or other American Indian African American & African Native White or Caucasian Note: Individuals in any racial or ethnic category may also be Hispanic or Latino. Data Sources: Wilder Research Homelessness Study 1997-2012; American Community Survey, (ACS) 2012.

Racial & Ethnic Disparities in Housing

200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 1,600,000 1,800,000

1960 1970 1980 1990 2000 2010 2011 2012 2013 2014 2020 2025 2030 2035

Projected Population for People of Color Minnesota State Demographic Center, 2014 Projected Growth

Where to fjnd research and policy tools

hMp://mhponline.org/policy/tools hMp://homesforallmn.org/

Tools you can use

hMp://mhponline.org/policy/tools/communicaPons/leMers-to-the-editor

Tools you can use

hMp://mhponline.org/publicaPons/county-profiles/2015 hMp://mhponline.org/publicaPons/legislaPve-district-profiles

Communicating about affordable housing

Level 1- Values

• Opportunity
• Safety
• Stewardship

for future generations

Level 2- Issue Areas

• Housing
• Environment
• Economic

stabilization

• Etc.

Level 3- Policies

• Inclusionary

Zoning

• Tax

Abatements

• Housing Trust

Funds

Communicating about affordable housing

Instead of:

• Affordable

housing

• Housing

projects

• Low-income

housing

Try:

• Affordable

homes

• Homes

affordable to all

• Affordable

places to live

• Developments

Because:

We’re talking about real people who live in

• homes. The word

“home” is associated with a set of values. It connotes safety and

• stability. It’s where you

raise your family.

Develop messages around aspirations & solutions

SoluPon SoluPon Problem

Solutions exercise

1 - 2 sentences

• n the

problem 1 sentence on why it matters (value statement) 4 sentences

• n the solution

Thank you!

Share your business card for occasional email updates from the MHP Connect list.

Sarah Berke, Director of Strategy & Partnerships sarah.berke@mhponline.org Atticus Jaramillo, Research Associate Atticus.Jaramillo@mhponline.org