A Changing Housing Market Has Led to the Rise of ‘Attainable’ Housing Brands

It’s no secret that housing costs have gone up in the last few decades—a lot. Buying a home has become extremely expensive in many cities around the country, and with ongoing high interest rates, it’s led many people to postpone buying a home and continue to rent. But that’s become hard to afford too, rental prices skyrocketed throughout 2021 and early 2022. All of this has led to a housing market that’s become more unaffordable than ever for low-income households, and increasingly, even middle-class income ones. Multifamily developers are aware of this, and for some time have been targeting a void in the market for what’s been dubbed workforce housing. Now, a growing number of companies are describing this segment as “attainable housing.” In a nutshell, it’s rental apartments for Americans somewhere in the middle: earning enough that they don’t qualify for subsidized or low-income housing, but not enough to afford most market-rate rentals. A once-overlooked market segment of housing designed and operated just for this demographic has become a popular product.

In recent years, many have discussed the need for more middle-income housing. Industry groups and housing experts have pointed to the need for affordable multifamily housing in pricey markets for people working the jobs that are crucial to society, like firefighters, nurses, and teachers. In determining affordability for workforce or middle-income housing, the rule of thumb often used is households earning between 80 percent and 120 percent of area median income (AMI).

Read more at Propmodo.

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