Many Families Can't Afford to Live Where They Labor, Recent Studies Show

They fight fires, keep the streets safe and educate America's youth. But many can't afford to live in the very neighborhoods they serve, according to a recent survey cosponsored by Freddie Mac.

The National Association of Counties (NACo) released the results of the survey – Paycheck to Paycheck: Wages and the Cost of Housing in Counties – on July 27 at the NACo Annual Conference and Exposition in Phoenix. In addition, the National Housing Conference (NHC) released the results of a related study – Paycheck to Paycheck: Wages and the Cost of Housing in America.

"Freddie Mac takes seriously its mission to make home possible for more of America's hard-working families," says Jim Park, vice president, Industry Relations & Housing Outreach. "The results of the NHC/NACO surveys put the importance of that mission into clear focus."

Metropolitan Areas

The NHC study found many of the country's largest and fastest-growing counties have serious affordable housing problems. Virtually none of the elementary school teachers, police officers, licensed practical nurses, retail salespersons and janitors living in the following metropolitan areas could afford to purchase a median-priced home there, based on median income: Atlanta; Baton Rouge, La.; Birmingham, Ala.; Charleston, S.C.; Charlotte, N.C.; Columbia, S.C.; Greensboro, N.C.; Jackson, Miss.; and Melbourne, Fla. Renters are also affected. The study's findings suggest that, in the majority of cities studied, based on median income, retail salespersons and janitors must use a disproportionately high percentage of their income to rent a one- or two-bedroom apartment.

"Although affordability issues continue to be prevalent and are no surprise in areas such as the Northeast and West, these latest findings demonstrate the growing homeownership disparities in the South for our nation's vital community workers," said NHC Chairman G. Allan Kingston, president and CEO of Century Housing.

Counties

The NACo study looked at six occupations: police officer, firefighter, elementary school teacher, retail salesperson, janitor and construction laborer. Individuals in these professions generally cannot afford to purchase a median- priced home based on typical salaries, the findings reveal. The study also found that renters must use a high percentage of their income to rent apartments. Buncombe County, N.C.'s janitors are unable to afford a one-bedroom apartment, and retail salespeople and construction laborers cannot afford to rent a two-bedroom apartment based on typical salaries.

As with the NHC study, these findings ultimately revealed a growing concern about the affordable housing problem facing not only lower-income families, but also moderate- and middle-income working families in some of the country's largest, fastest-growing urban, suburban and rural counties. Three quarters of the counties reported that the most pervasive barriers to creating affordable housing were "not in my backyard" attitudes and lack of public funding.

"This survey shows that the lack of affordable housing in America's counties is a growing problem, " said NACo President and Lake County, Ill., Board Member Angelo Kyle. "The men and women who police our streets, fight our fires and educate our children deserve the opportunity to live in the community in which they work. The National Association of Counties will continue to work with the Administration, Congress and industry leaders to push for sound affordable housing policy."

"We commend Freddie Mac for its funding of this survey and look forward to continuing our strong relationship with Freddie Mac as we work toward supporting affordable housing for all Americans," Kyle said.