Center for Housing Policy Highlights the Role of Affordable Housing in Creating Jobs and Stimulating Local Economic Development
The Center for Housing Policy (CHP) has captured research showing that affordable housing development not only provides needed housing, but also drives local economic growth. CHP created a fact sheet that summarizes the different ways in which affordable housing can contribute to rising employment and economic recovery. The fact sheet is based on the conclusions of a detailed research review of available literature presented in an accompanying document.
These reports, “The Role of Affordable Housing in Creating Jobs and Stimulating Local Economic Development: Evidence in Brief and A Review of the Literature,” are both timely, given the current economic climate, and valuable for campaigns working to put investment in affordable housing in the context of helping revitalize local economies. The summary report provides brief evidence of five conclusions:
- Building affordable housing creates jobs and spending both during construction and after the homes are occupied;
- The development of affordable housing can help attract both new employers and a skilled workforce;
- Investing in affordable homes increases revenues for states and localities;
- Homebuyers who participate in an affordable homeownership program appear less likely to experience foreclosure than those who do not, which can reduce government spending; and
- When housing and associated costs such as transportation and utilities are affordable, families have more income to spend on local goods and services.
The more complete literature review explores the intersection of affordable housing and local economic development by expanding on these topics. January 2011.
The research was supported by the John D. and Catherine T. MacArthur Foundation. The reports are available at http://www.nhc.org/publications/index.html.
