Cost-effective Housing Boosts The Economy

The economic system is in the cutting edge of many news programs and political discussions. The nation’s unemployment rate continues to be high, and thousands of individuals were out of work for six months or even more. Many have been searching for full-time work for over 12 months. In this sort of financial climate, affordable housing proponents advocate increases in housing development that is affordable because more individuals need affordable places to live. But that is not the sole reason to construct affordable housing.

Earlier this year, the Maine State Housing Authority given a news release detailing the ways where Maine’s economy has benefited from low-income housing development. Based on the news release, projects all over the state have put together to make over 300 full time jobs – that’s nearly 1 full-time process for every inexpensive product being developed.

In addition, aproximatelly $64 million has been injected into the state’s economic climate, and that’s in the same way a direct consequence of the money getting spent on the assignments. Accessory dwelling units doesn’t take into account the economic benefits that come from having far more folks employed who are also spending money at neighborhood businesses.

Most of the 320 units currently being produced are designated for families whose salary is at or below 50 % of the Area Median Income (AMI). The assignments were funded with Low Income Housing Tax Credits (LIHTC), and a couple of them also was given funding from the American Recovery and Reinvestment Act of 2009. The Maine State Housing Authority announcement can serve as a fantastic reminder that affordable housing projects help a lot more than simply the residents, and can bring some much needed jobs and money to hometown communities.

And this is not the earliest report released this year that gives evidence to the monetary benefits of affordable housing development. Other reports have discovered that low-income housing tax credits, which are usually used to help fund inexpensive housing projects, additionally help spur the economic system as well as use federal dollars to secure personal investment too.

In the current economic climate of ours, the general consensus seems to be that every government spending is terrible. But numerous reports, each from the private and public sector, provide evidence which is solid that a few government programs do work well, have jobs, and promote increased private investment in local communities. In the instance of affordable housing-related spending, nearly every study which has been conducted has noticed that low income residents aren’t the only ones which gain from the programs. As lawmakers think of which programs to lower and which should stay intact, here is hoping the results of studies and statements which include the person from Maine are factored into their decision making process.

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