California has been known for its
The extensive amount of money that it costs to buy a house in California (CA) is one of the main issues of housing. The pricing differences between California and other parts of the United States is exceedingly significant. The general cost of California homes, $437,000, is more than double the cost of the typical U.S. home, $179,000. The renters also face greater costs, nearly 50% more than the national average (6 Taylor). California is difficult to afford. A home in California costs double the amount of the average U.S. home. When people come to California looking for a better life, their dreams become crushed once they recognize the reality of the California economy. Prices are too much to handle. “California’s housing markets rank
…show more content…
among the most expensive in America.
According to a recent report by the state’s nonpartisan Legislative Analyst’s Office (LAO), whereas the average American home costs $180,000, the average California home costs $440,000, or 240 percent more than in the rest of the country, up from 30 percent more in 1970 and 80 percent more in 1980” (1 Gaarder). The LAO, a highly recognized organization, believes that California’s housing is too expensive as well. Shown in the data, normal housing across America is a decent price. But when it comes to California, things get out of hand. It actually costs 240 percent more to live in California than in any other part of the United States. Observing L.A’s metro area, the stock of housing increased by 20% from 1980-2010, compared with 54% in other U.S. metropolitan areas (1 Welch). When a good becomes overpriced, there is less of it bought. This is what is happening to California’s housing, they are in a state of supply and demand. California has a definite problem with affordability and people aren’t able to live the
California dream as they thought they would. The issue of California is not only due to pricings of homes, but also the pricing and limitation of land CA has to build homes. California has a limited amount of land and the citizens are demanding more of it. There are local regulations on the heights of buildings, lot size, etc which make it nearly impossible to meet all demands, especially close to where jobs are (2 Gaarder). It is nearly impossible to find land to build homes. This makes it difficult for people to find a home close to where they work and want to live. Due to the limited space some people have to live with the struggle of living very far away from their work which makes their life even more difficult. Vacant land available for California’s coastal metros is extremely limited and the scarcity of land makes it challenging to find sites for new buildings (16 Taylor). The limited amount of land is making housing costs worse. Housing departments need to make a profit and it costs a great deal of money with such little land to work with. The land to find new homes causes the price to increase drastically. “Far less housing has been built in California’s coastal areas than people demand. As a result, households bid up the cost of housing in coastal regions. In addition, some of the unmet demand to live in coastal areas spills over into inland California, driving up prices there too” (10 Taylor). California is making things even more difficult for the citizens. Because of the amount of land people want around the coast, prices are increased to an amount of unaffordability amongst the working class. Because people can’t afford the coastal homes, people decide to move inland which California decided to increase in price as well. With all of the high costs and results of supply of demand, housing is striking against the middle class and poverty-classed citizens. The arduous decline in prices left homeowners
Chicago’s Cabrini-Green public housing project is notorious in the United States for being the most impoverished and crime-ridden public housing development ever established. Originally established as inexpensive housing in the 1940’s, it soon became a vast complex of unsightly concrete low and high-rise apartment structures. Originally touted as a giant step forward in the development of public housing, it quickly changed from a racially and economically diverse housing complex to a predominantly black, extremely poor ghetto. As it was left to rot, so to speak, Cabrini-Green harbored drug dealers, gangs and prostitution. It continued its downward spiral of despair until the mid 1990’s when the Federal Government assumed control the Chicago Housing Authority, the organization responsible for this abomination. Cabrini-Green has slowly been recovering from its dismal state of affairs recently, with developers building mixed-income and subsidized housing. The Chicago Housing Authority has also been demolishing the monolithic concrete high-rise slums, replacing them with public housing aimed at not repeating the mistakes of the past. Fortunately, a new era of public housing has dawned from the mistakes that were made, and the lessons that were learned from the things that went on for half a century in Cabrini-Green.
In the Late nineteenth century the population was growing at a rapid pace. The country had people flooding the biggest cities in the country such as New York City and Chicago. These populations were gaining more and more people every single year and the country has to do something to make places for these people to live. The government would go on to create urban housing programs. These programs were created to make homes for these people to live in. At the time it provided a place for people to live but as the populations grew it became a more cramped and rundown area because of the large populations in one place. These reforms eventually led to these areas becoming dangerous, they were rundown, and it created a hole that was difficult for people to get out of.
Downs has sought to dispel myths surrounding housing policy. The first myth he debunks is the myth that all government-sponsored urban policies have failed. Downs believes that although they had resulted in greater hardships for poorer neighborhoods, the policies have given great benefits to a majority of urban American families. While he does not consider these policies to be a complete success, he refuses to call them failures due to the fact that they did indeed improve the standard of living for most of urban America. Downs also calls to our attention the effect of housing policies on the number of housing units. Starting in 1950, housing policies were aimed at ending the housing shortage until focus was shifted to low income households in the midst of the Vietnam War. To Downs, ending the shortage was important because it was affecting the American way of life. Couples were delaying marriage, extended families were living in one home, and overcrowded housing led to overcrowded local facilities, such as schools. Downs also argues that this overcrowding led to an inescapable cycle of “substandard”
As the lease of my apartment is coming to an end it had me thinking of achieving my own American Dream of home ownership but as I do my research I find the dream is far from coming true. I am sure that the issue of housing prices and rent rates are what most of us Bay Area residents talk about and debate. It is an issue that needs to be addressed by the officials of the area, city mayors, affordable housing committees, social justice activists,lawmakers, and even employers. Skyrocketing prices, low inventory, and investors’ bidding wars are not only pushing the middle and lower classes out of San Francisco and the Bay Area out but will completely eliminate them.
As stated by Richard F. Burns and Thomas G. Vaccaro in Unaffordable Housing: A Root Cause of Social Inequality, 80% to 120% of area median income—also struggle to find affordable rental units in all 50 states. This lack of “workforce housing” results in their inability to live in or near the places where they work. Not being able to live near work if results in higher cost of living because you end up having to pay for either a car or, you could rely on public transportation or even have to pay forward gas money to another person. Housing also ties(“is also tied to”) to cost of living which turns out is very expensive. According to DePersio, Greg in "How Much Money Do You Need to Live in Los Angeles?, As of August 2015, the average rent in Los Angeles is $2,296 per month. Even if someone is only looking for a one-bedroom apartment, the average cost sits at approximately$1,950 per month. A two-bedroom apartment averages slightly over $2,500. So as one can see that they have to make at the very least $13 an hour just to pay rent, this does not even include food or utilities let alone if they have kids forget it. Because of unaffordable housing has left millions without homes making them fall under the category of
Inclusionary zoning (IZ) is an affordable housing development program, which encourages the production of affordable housing and controls the housing prices. IZ policies in San Francisco, Boston, and Washington D.C support new residential developments to keep a certain percentage of the housing units affordable and serve to low income residents. Density bonuses are allowed to the developer to build more units, and fast-track permitting allows developers to expedite the building process. Although those programs have aided numerous residents, there is the argument followed, IZ program would cause the prices of market-rate housing to rise ultimately reducing rather than increasing affordability. To find out the truth of the IZ program, the research team in Furman Center, New York University addresses these questions.
Throughout my research I found there is a real cry out for action on providing more affordable house not just locally but throughout the country. There needs to be more funding available to build more gear to income or subsidized housing and all levels of government need to take action.
The American dream was owning a house with a white picket fence. Now this dream is impossible. Individuals and families find it more difficult to find a decent home to rent in a suitable living area. According to Huffington Post, the hourly wage needed to afford a two bedroom apartment in California is at least $26 an hour. This is more than triple the minimum wage. Eviction, relocation, and inflation are the common keywords that associate with affordable housing. I 'm hoping to persuade you to support affordable housing for all. Today, I will be discussing, one, inflation of the housing market that needs to decrease, two, eviction from homes, three having to move to communities far from their work site.
Alejandrino, Simon V. Gentrification in San Francisco's Mission District: Indicators and Policy Recommendations. University of California at Berkeley, 2000.
Gentrification is a highly important topic that has not only been occurring all over the United States, but especially closer than we may have thought. San Francisco is home to hundreds of thousands of people who have been a part of how amazing this city has become. San Francisco is one of the most visited places in the world with many of its famous landmarks, endless opportunities not only for daytime fun but also has an amazing nightlife that people cannot get enough of. People come for a great time and could not be done without the help of the people who have grown up to experience and love this city for what it truly is. The cost of living in such an important city has definitely had its affect of lower income San Francisco residents. For decades we have seen changes occurring in parts of San Francisco where minorities live. We have seen this in Chinatown, SOMA, Fillmore district, and especially the Mission district.
Since 1848 to the present, California has had strong periods of representing the American Dream with its egalitarian advances and times of overwhelmingly democratic positions. Also, California was once a place for economic opportunity, attracting people from all over the nation. Since 1990, however, California has witnessed a reverse migration. Once a land of hope and opportunity, California has slowly been turning into a land of despair.
Alexandra stresses how much the price of living has increased in San Francisco. There was a case that a woman was getting evicted because the rent was going to get tripled. Another man that bought a house was going to rent a 1400 square foot house for 10,000 dollars a month.
The existing Inclusionary Zoning Ordinance Program should be the first option for the city’s affordable housing needs because it mixes housing options throughout different developments. The next choice would be the Irvine Community Land Trust because of its ability to oversee and monitor affordable housing and preserve it for future generation. The third option would be The Employer-Assisted Housing (EAH) program because it give the employers some responsibility for the employees they attract to the city. The Low Income Housing Tax Credit (LIHTC) would be the next choice, because of its track record in Colorado and the HOME Investment Partnerships Program would be the final option, although it provides for low-income earners it isn’t as effective
Buying a home is something most people do at least once in their lifetime. Many people dream of buying their own home. The amount of new homes has grown tremendously and many people are buying houses. The median price of homes in California is approximately $500,000. The conventional way of buying a home is a procedure that takes a lot of time and patience. There are a few steps and procedures that are included in buying home. It includes getting pre-qualified by a loan agent to determine the maximum dollar amount of mortgage you can truly afford (real important step in the process), seeking a realtor, searching for homes, making offers, hiring a title company, an appraiser, home inspector, termite company and opening and closing escrow and other various services that benefit both buyer and seller. Buying a home is a complex process and most consumers do not know where to start and lack the education in regards to it.
the past few years. This is much more common in those markets where affordable housing is scarce. (MAX) California and Hawaii are among those high price markets. California alone has over six-hundred and forty-four thousand households where three or more generations live under one roof. (Seligman) As home prices in many areas have doubled, most incomes have not. In many areas of the country homebuilders and mortgage agencies have taken notice.