The terms “affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af...” and “public housing” are frequently used interchangeably, causing a lot of confusion in the process. They are actually two very different types of housing with different qualifying criteria.
The problem is that by confusing the terms, many people who are struggling to afford rent don’t realize they may actually qualify for help under possibly dozens of different programs. Many people mistakenly think government help is only available to the most impoverished. Let’s take a closer look at affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af... versus public housing to try and understand the differences.
What Is Affordable Housing?
In the most general terms, the government defines affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af... as any home, rented or owned, in which costs comprise less than 30 percent of the householdAll the people who occupy a housing unit. A household includes the related family members and all the unrelated people, if any, such as lodgers, foster children, wards, or employees who share the hous... monthly income. For our purposes, it defines properties that are made available to lower-income families at less than market valueMarket Value is the value of the asset on the open market.. There are several ways to accomplish this goal. First of all, developers may receive a tax credit from the government (known as the Low Income Housing Tax CreditA tax incentive intended to increase the availability of low-income housing. The program provides an income tax credit to owners of newly constructed or substantially rehabilitated low-income rental h..., or LIHTCA tax incentive intended to increase the availability of low-income housing. The program provides an income tax credit to owners of newly constructed or substantially rehabilitated low-income rental h...) if they designate a certain number of their residential units as affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af... units. These units must be occupied by families making less than 60 percent of the Area Median Income (AMI). Secondly, families who make less than 50 percent of the AMI may qualify to receive government subsidies to keep their rental costs at 30 percent of their income. (Section 8The housing assistance payments program that implements Section 8 of the United States Housing Act of 1937. vouchers are the most common example.)
As you can probably tell, the cost of affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af... and a number of rent subsidies can vary widely based on location. For example, in New York City where rents are exceptionally high, the AMI for a 3-person householdAll the people who occupy a housing unit. A household includes the related family members and all the unrelated people, if any, such as lodgers, foster children, wards, or employees who share the hous... is currently $85,900, meaning a family could make as much as $51,000 per year and still qualify for affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af....
In many cases, affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af... subsidies follow the family and the income, not the property. In other words, if you qualify for a tenant-based Section 8The housing assistance payments program that implements Section 8 of the United States Housing Act of 1937. voucher, you can take that voucher with you from one affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af... unit to another without losing your benefits.
What is Public Housing?
Public housing, quite simply, is housing that is owned and/or managed by the government for the purpose of providing housing to low-income families. Public housing projects come under the oversight of the Department of Housing and Urban DevelopmentEstablished in 1965, HUD's mission is to increase homeownership, support community development, and increase access to affordable housing free from discrimination. To fulfill this mission, HUD will em..., but they may be administered by one of over 3000 housing agencies. Unlike private affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af... developments that may only designate a percentage of their units for lower income families, public housing is wholly dedicated to qualified low-income households and/or those with qualifying disabilities.
To determine a family’s eligibility to live in public housing, the government evaluates your income and expenses compared to the local average. Families with incomes at 80 percent or below the Area Median Income are considered “lower-income” families, while those at 50 percent or below the AMI are classified as “very low income.” In expensive cities, even lower-income families may qualify for some type of subsidized public housing.
Which Housing Option is Right for You?
The upshot of all this is that if you’re struggling to make rent or to find housing you can afford, you may have more options than you realize. Between affordable and public housing options, there is a wide range of different pathways that may get you and your family into a home you can afford. One of the best ways to find the right path for you is to go to your local housing authority to see if you qualify for some type of help.
Olympia ManagementOlympia Management, Inc. exists to meet the needs of the affordable housing community by providing top-quality living conditions, excellent management, compassionate interaction with tenants, and cons... specializes in managing quality affordable housingIn general, housing for which the occupant(s) is/are paying no more than 30 percent of his or her income for gross housing costs, including utilities. Please note that some jurisdictions may define af... for low-income families, the elderly and disabled, and we have numerous properties in cities across the southern U.S. To learn more about our offerings and to see whether you may be eligible, contact us today.