What is Affordability?
In the United States, a commonly accepted guideline for housing affordability is a housing cost that does not exceed 30% of a household's gross income. (https://en.wikipedia.org/wiki/Affordable_housing)
(https://www.huduser.gov/portal/glossary/glossary_a.html)
The federal HUD standard for rental housing affordability is a housing cost (rent + utilities) that does not exceed 30% of a household's gross income. The average household size in Seattle is 1.7 persons. All housing affordability is relative to the size of the household:
http://www.wshfc.org/limits/detail.aspx?County=king&Year=2015
AMI is the acronym for Area Median Income. The median household income in the Seattle area (half the households made more money, half less) was $89,600 in 2015. It increased $5,000 over the prior year because of the increase in tech jobs, and because lower-income households were leaving. AMI is important because it is the standard measure of affordability in housing policy.
Affordable housing programs usually define housing needs as:
In the United States, a commonly accepted guideline for housing affordability is a housing cost that does not exceed 30% of a household's gross income. (https://en.wikipedia.org/wiki/Affordable_housing)
(https://www.huduser.gov/portal/glossary/glossary_a.html)
The federal HUD standard for rental housing affordability is a housing cost (rent + utilities) that does not exceed 30% of a household's gross income. The average household size in Seattle is 1.7 persons. All housing affordability is relative to the size of the household:
http://www.wshfc.org/limits/detail.aspx?County=king&Year=2015
AMI is the acronym for Area Median Income. The median household income in the Seattle area (half the households made more money, half less) was $89,600 in 2015. It increased $5,000 over the prior year because of the increase in tech jobs, and because lower-income households were leaving. AMI is important because it is the standard measure of affordability in housing policy.
Affordable housing programs usually define housing needs as:
- 0 – 30% of AMI, up to $18,840 for one person, rent up to $471, requiring subsidies and supportive services, representing chronically homeless persons, seniors and people with disabilities living on Social Security
- 31 – 60% of AMI, up to $37,680 per person or $43,020 for two people, with rent up to $1,008 for a 1-bedroom apartment. Some older buildings in some parts of Seattle offer moderate rents, but new buildings must be subsidized or incentivized to be affordable.
- 61 – 80% of AMI, up to $50,420 for a single person, $57,360 for two people, with rent up to about $1,300 for two people. In Seattle, buildings about 40 to 50 years old offer such “naturally affordable” rents. While not eligible for subsidized rent, some families qualify for city low-income homeownership programs at this income level.