Addressing Affordable Housing in Raleigh and Chapel Hill: “It’s a Need that hasn’t Abated”

12/12/18

By Hannah Lang, NC Biz News

The nurses in local hospitals, the teachers in public schools, the employees at local nonprofits— these just a few examples of individuals who could be priced out of the Triangle if not provided with affordable housing options.

“It’s a need that hasn’t abated,” said Camille Berry, development and communications manager for Community Home Trust in Chapel Hill, “In fact, it’s increased.”

The Triangle’s economy is expanding. Job growth for the Raleigh-Durham area rose 33 percent last year compared to a nationwide average of 13 percent. All that growth is bringing more people to the area: Wake County alone is growing by 67 people per day.

But as the area continues to develop and home prices increase, low-to-moderate income families could be excluded from living in economically well-off areas. Local governments and nonprofits are working to ensure that doesn’t happen.

Here’s a look at what two such areas — Raleigh and Chapel Hill — are doing to ensure adequate affordable housing options for their communities.

“Healthy and inclusive” growth

In the state capital, officials are working to provide affordable housing so that growth in the are remains “healthy and inclusive,” according to a 2017 report provided by the Wake County Board of Commissioners.

According to the report, the currently growing need for housing, combined with a shrinking supply, will cause the number of low-income households unable to find housing to more than double in the next 20 years.

To address the crisis, the commissioners approved an Affordable Housing Plan that plans to address the problem by adjusting land use requirements, establishing new housing programs and expanding funding for such programs, among other strategies.

“Affordable housing is critical to preserving Wake County’s economic competitiveness,” the report states.

The report stated that rapid population growth was generating upward pressure on housing prices and that household incomes were trailing behind those costs.

According to rental property data collected from Zillow.com, most zip codes within Wake County have average rental values that fall below one third of that area’s mean household income — the threshold for rental housing to be considered affordable.

According to Wake County Economic Development, the average home price for Raleigh remains well below the national average.

Still, housing affordability remains an issue for vulnerable populations.

In a 2017 video distributed by Wake County government, 20 year-old Onyx Williams discussed her struggle to secure a place to live. Williams, who grew up in foster care, experienced homelessness as a young adult and now participates in a culinary job training program with the Inter-Faith Food Shuttle, a non-profit based in Raleigh.

“It’s just weird how you’re homeless, (but) you can’t really ask for help” Williams said in the video. “You seek help, but they’re not giving it to you.”

Williams was housed in June 2017, after months of attempts, the video stated.

“This conversation has been taking place for decades”

Chapel Hill may not be known for its cheap home prices, but Community Home Trust is working to ensure that low to moderate income households have an opportunity to live in the safe and otherwise affluent area.

Chapel Hill passed an ordinance in 2010 that required at least 15 percent of all new housing developments to be priced affordably. The Community House Trust implements that ordinance, said Berry.

“This conversation has been taking place for decades in Chapel Hill,” Berry said.

Community Home Trust offers more than 250 properties in Chapel Hill and Carrboro. Berry said an affordable home can make a sizable impact in the lives of some families.

For example, one family moved into one of Community Home Trust’s homes more than a decade ago. The household consisted of a single mother, who worked as a nurse, and her four children. The mother was eventually able to send all four of her children to college, Berry said.

“All four children are doing well, as is mom.” Berry said. “They have attributed a lot of their family’s success in some ways, not all, in some ways to the stability of having a home that has been affordable, safe and in a community where they could take advantage of amenities… (and) community-wide opportunities

In the November 2018 election, Chapel Hill passed a referendum that approved $10 million in general obligation bonds to build 400 new affordable units and maintain 300 existing units.

“The town of Chapel Hill strongly supports (our and our partners’) efforts, but their own means of funding (are) limited.” Barry said. “They were trying to figure out how to increase that, and that’s where the bond referendum came in.”

Work remains to be done in the Chapel Hill and Raleigh area. According to Wake County’s housing report, approximately 56,000 low-income families within the county are currently unable to find affordable housing. And in Chapel Hill, 54 percent of renters spend more than 30 percent of total income on housing. For homeowners, the number is 21 percent.

That could be people like Williams, who has a criminal charge on her record. When homeless, Williams resorted to stealing from WalMart to provide herself with basic goods such as clothes and shoes, the video explained.

Nearly 80 percent of people with convictions are ineligible for or denied housing, according to Wake County government, even though receiving supportive housing reduces the chances of being re-incarcerated.

“Maybe I’m just dreaming,” Williams said in the video. “But I just know that (people like me), we need help.”

Although the work of affordable housing initiatives is far from being over, Julia Held, marketing specialist for Community Home Trust, said it’s fulfilling to make the vibrant and safe community of Chapel Hill available to all.

“I think what we do is we get people who would never have dreamed to be able to live in Chapel Hill an opportunity to purchase a house through us.” Held said.

“These are people who would never have dreamed to be able to live in a place (where) they could experience everything Chapel Hill has to offer from classes, to parks, to transportation. Through our program, they’re able to purchase it and become a part of the community.”

Recent Deals

Interested in advertising your deals? Contact Edwin Warfield.