AN
AN AFFORDABLE HOUSING CRISIS IS JEOPARDIZING CHARLOTTE'S REPUTATION AND THREATENING
SUCCESS.
FAMILIES BEING PRICED OUT OF
THE CITY.
>> WE LEAVE IN A TENT.
>> PUTTING STRESS ON THE
WORKING CLASS.
>> YOU CANNOT HAVE A SUCCESSFUL
BUSINESS IN AN UNHEALTHY
COMMUNITY.
>> THE AVERAGE SOCIAL SECURITY
CHECK IS $1400.
THE AVERAGE RENT IS ABOUT
$1200.
>> GOOD EVENING.
>> BY MANY ACCOUNTS CHARLOTTE
IS AS VIBRANT AS EVER
RECOGNIZING AS A GREAT PLACE TO
RAISE A FAMILY AND START A
BUSINESS BUT THE AFFORDABLE
HOUSING CRISIS IS PUTTING ALL
OF THAT AT RISK OF
>> 34,000 AFFORDABLE HOUSING
UNITS ARE NEEDED TO MEET THE
DEMAND, DOUBLE THE NUMBER FROM
A DECADE AGO.
IT IS A COMPLEX PROBLEM CREATED
BY THE CITY'S OWN SUCCESS
>> I GUESS I AM LUCKY.
>> THIS CHARLOTTE NATIVE WORKED
HIS WHOLE LIFE UNTIL THE
RECESSION HIT IN 2008.
A JOB LOSS FOLLOWED BY SERIOUS
HEALTH ISSUES PUT A STRAIN ON
FINANCES.
>> IT NOT TO ME FOR A LOOP.
>> LIKE SO MANY HE STRUGGLED TO
GET AMID RISING RENT.
>> THEY MOVE OUT TRYING TO FIND
AFFORDABLE HOUSING AND
TRANSPORTATION COST GOES UP
>> EXPERTS TELL US THERE ARE
PLENTY OF THINGS TO BLAME.
THE POPULATION GROWING FASTER
THAN THE HOUSING SUPPLY WITH
SKYROCKETING PROPERTY VALUES
AND COST OUTPACING WAGES.
>> THIS IS SOMETHING WE HAVE TO
ADDRESS AND I DON'T KNOW IF WE
ARE DOING A GOOD JOB.
>> THE BOARD CHAIR FOR THE
ECONOMIC DEVELOPMENT
PARTNERSHIP OF NORTH CAROLINA
SAYS FIXING THE PROBLEM IS KEY
TO THE LONG-TERM SUCCESS AND
VITALITY OF CHARLOTTE.
>> AFFORDABLE HOUSING IS
CRITICAL FOR ECONOMIC
DEVELOPMENT NOT ONLY FOR
RECRUITING NEW BUSINESS BUT
ALSO FOR RETAINING THE
BUSINESSES WE HAVE.
>> LOCAL ORGANIZATIONS AND
BUSINESSES ARE SCRAMBLING TO
FIND SOLUTIONS IN FUNDING TO
SOLVE THE PROBLEM WCNC AS PART
OF THE CHARLOTTE JOURNALISM
COLLABORATIVE WHEN IT A
PARTNERS DEDICATED TO
UNCOVERING THE SOLUTIONS TO THE
AFFORDABLE HOUSING CRISIS.
>> IT IS EASY TO TELL WHAT IS
HAPPENING IN THE COMMUNITY BY
HOW YOU FIX IT AND NOT
EVERYBODY HAS THE ANSWERS THE
CHALLENGE IS TRYING TO FIND
WHAT IS WORKING IN OTHER
COMMUNITIES AND OTHER STATES
AND BRING THAT BACK TO
CHARLOTTE.
>> A PROBLEM LEAVING MORE
PEOPLE WITH FEWER OPTIONS.
>> I DID NOT THINK I WOULD GET
THIS AGE AND NOT HAVE RESOURCES
BECAUSE I WAS SAVING ALL THE
TIME.
>> THE COLLABORATIVE IS FUNDED
BY THE KNIGHT FOUNDATION TO THE
JOURNALISM NETWORK.
THEY WOULD LOVE TO HEAR FROM
YOU ON THIS ISSUE.
IF YOU HAVE A HOUSING STORY TO
SHARE, EMAIL US AT
NEWS@WCNC.COM.
LOCAL RENTAL CLIMBED 45% SINCE
2010 AND A PERSON MAKING $20 AN
HOUR WOULD HAVE TO WORK 60
HOURS JUST TO MAKE ENOUGH TO
PAY ONE MONTH RENT AND THAT
DOES NOT INCLUDE WHAT IS TAKEN
OUT OF YOUR PAYCHECK
APPROXIMATELY 46,000 PEOPLE IN
CHARLOTTE PAY MORE THAN 50% OF
THEIR INCOME TO RENT AND
EXPERTS RECOMMEND NO MORE THAN
30%.
>> TEACHERS, POLICE OFFICERS,
FIREFIGHTERS AND THE HEART OF
THE COMMUNITY WORKING FULL TIME
ARE HAVING A HARD TIME BUYING A
HOME.
>> LOW INVENTORY AND HIGH
PRICES ARE NOT THE ONLY ENEMY.
THERE IS SOMEONE ELSE IN THE
FIGHT.
>> IT HAS NEVER BEEN MORE
DIFFICULT.
>> THE CRISIS IS DRIVING SOME
PEOPLE TO LOOK IN AREAS THEY
MIGHT NOT HAVE CONSIDERED AND
IN SOME CASES IT MEANS OUT OF
CHARLOTTE.
RICHARD SPEARHEADED THE REPORT.
>> PRIOR TO 2014 AT LEAST 40%
OF HOME SALES OCCURRED AT A
PRICE POINT OF $150,000 OR LESS
AND IN 2018 THE NUMBER WAS 13%.
IT IS THAT BIG A DROP
>> IF YOU SEARCH BELOW $150,000
SINGLE-FAMILY HOMES IN
CHARLOTTE, YOU GET 52 RESULTS
AS BIG AS CHARLOTTE IS TO ONLY
HAVE 50+ AVAILABLE HOUSES IS
INCREDIBLE.
>> HARD TO BELIEVE BUT THIS IS
WHAT $150,000 WILL GET YOU AND
CHARLOTTE AND EVEN HARDER TO
BELIEVE THAT HOMES LIKE THIS
ARE SNATCHED UP IN DAYS AND WE
DISCOVERED A LOT OF BUYERS ARE
NOT ALWAYS --
>> SIX OUT OF THE 10 WERE CASH
BUYERS WHICH TELLS ME THEY ARE
INVESTORS.
>> WE FOUND SEVERAL EXAMPLES OF
OUT-OF-STATE INVESTMENT
COMPANIES WITH NUMEROUS
PROPERTIES.
GREENLEE AND CHARLOTTE, 22 IN
AUSTIN TEXAS, 180 AND IN THE
LAST DECADE OUT-OF-STATE FIRMS
HAVE BOUGHT MORE THAN 10,000
HOUSES ACROSS CHARLOTTE
CREATING NEW RENTALS WITH
HIGHER RENT.
>> THAT GIVES YOU AN IDEA OF
WHAT FIRST-TIME HOMEBUYERS ARE
GOING UP AGAINST.
>> THEY CAN OFFER MORE MONEY
FOR DUE DILIGENCE GETTING FULL
LOAN APPROVAL PRIOR TO MAKING A
BED.
>> YOU HAVE TO BE ABLE TO MAKE
THE MONTHLY PAYMENT.
>> DEVELOPERS ARE BUILDING MORE
HIGH-PRICED HOMES TRANSLATING
INTO EVEN FEWER AFFORDABLE
CHOICES.
>> SOLVING THE ISSUE IS GOING
TO TAKE NOT ONLY MONEY BUT
CULTURAL CHANGE AND MORE
EMPLOYERS WILLING TO PAY A
LIVING WAGE AND NEIGHBORHOODS
WILLING TO WELCOME SUBSIDIZE
HOW THE HOUSING AND MORE
LANDLORDS WILLING TO ACCEPT THE
HOUSING VOUCHERS FOR LOW INCOME
FAMILIES ARE GETTING MONEY FROM
THE GOVERNMENT AND CAN USE THE
VOUCHERS AND HE CONFRONTED
LAWMAKERS ABOUT THE DISCOVERY
>> IN A FEW DAYS THE HOUSING
AUTHORITY COULD MAKE A MAJOR
CHANGE.
THE BOARD WILL CONSIDER WHETHER
TO GIVE VOUCHER HOLDERS ANOTHER
TWO MONTHS TO TRY TO FIND A
PLACE BEFORE THE VOUCHERS
EXPIRE.
>> THE MILLMAN FAMILY KNOWS HOW
DIFFICULT IT IS TO FIND A PLACE
TO LIVE.
EVEN WHEN THE GOVERNMENT
PITCHES IN TO HELP.
>> I THOUGHT GETTING ACCEPTED
THROUGH A PROGRAM WOULD GIVE US
THE CONFIDENCE OF YOUR FINE.
>> IT IS LIKE WINNING THE
LOTTERY BUT YOU CANNOT SPEND
THE MONEY.
IT IS ESPECIALLY DIFFICULT WITH
THE HOUSING CHOICE PROGRAM
FORMERLY SECTION 8. RECORDS
SHOW MORE THAN 13,000 OTHER
PEOPLE ARE ON A WAIT LIST FOR A
VOUCHER. IT IS GOOD FOR FOUR
MONTHS AND ONLY 127 RECEIVED
WHEN RECENT YEARS AND RECORDS
SHOW MORE THAN ONE OUT OF EVERY
THREE OF THOSE VOUCHERS EXPIRED
BEFORE THE FAMILIES COULD USE
THEM.
>> THE PROBLEM STEMS FROM THE
LACK OF AVAILABLE LACES TO LIVE
IN CHARLOTTE COUPLED WITH
BOOMING POPULATION GROWTH THAT
THERE IS ANOTHER LAYER.
>> A LANDLORD CAN REFUSE TO
ACCEPT THE FORM OF PAYMENT.
>> IT'S CALLED INCOME SOURCE
DISCRIMINATION AND IS A COMMON
OCCURRENCE.
A FEDERAL STUDY FOUND LESS OF
IT IN PLACES WHERE VOUCHER
DISCRIMINATION IS AGAINST THE
LAW AS IT IS IN SEVERAL STATES
BUT NOT THE CAROLINAS.
CHARLOTTE HOUSING AUTHORITY
WANTS TO SEE THAT CHANGE.
>> YOU HAVE A BOUCHER AND I
HEARD IT TOO MANY TIMES THAT
THEY WON'T ACCEPT IT.
>> I WANT TO SEE THE COMMUNITY
BE ABLE TO SOLVE THIS.
>> EXECUTIVE DIRECTOR OF THE
GREATER CHARLOTTE APARTMENT
ASSOCIATION SAYS LANDLORDS HERE
ARE NOT DISCRIMINATING AGAINST
RENTERS WHO HAVE VOUCHERS
INSTEAD THEY ARE MAKING
BUSINESS DECISIONS SINCE
RENTING TO SOMEONE WITH A
BOUCHER MEANS GOVERNMENT
REDTAPE INCLUDING MANDATED
INSPECTIONS AND A LENGTHY WAIT
TIME TO GET PAID.
>> THERE ARE SOME INHERENT
CHALLENGES.
>> THE HOUSING AUTHORITY SAYS
IT'S WORTH TO MAKE IT MORE
SEAMLESS AND LANDLORD FRIENDLY
BUT THE AGENCY SAYS SOME ARE
STILL TURNING AWAY PEOPLE OF
VOUCHERS AND ENTER THE
CONGRESSWOMAN.
>> THE THINGS THEY CAN AFFORD
THEY ARE NOT ABLE TO USE THE
VOUCHERS. I HAVE CONCERNS
ABOUT THAT.
>> AFTER WE SHARED OUR FINDINGS
SHE PLEDGED TO BRING THE ISSUE
TO THE FINANCIAL SERVICES
COMMITTEE SHE SITS ON HOPING TO
FIND SOLUTIONS SO PEOPLE CAN
USE THE MONEY THE GOVERNMENT IS
GIVING THEM.
>> WE CAN BRING THE PARTNERS
AROUND THE TABLE AND WE SHOULD
BE ABLE TO HELP A LITTLE MORE
THAN WE HAVE.
>> RIGHT NOW VOUCHER EXPIRES IF
A PERSON DOES NOT USE IT IN 120
DAYS AND THEY ARE CONSIDERING
EXTENDING THE TIME TO USE THE
VOUCHER TO 180 DAYS. AN EXTRA
TWO MONTHS.
THANKFULLY THE MILLMAN STEW NOT
NEED AN EXTENSION WEEK BEFORE
THEIR VOUCHER WAS SET TO EXPIRE
THEY FOUND A LANDLORD WILLING
TO ACCEPT IT AND NOW THEIR
DAUGHTER HAS A PERMANENT ROOF
OVER HER HEAD
>> VOUCHER HOLDERS GET EVEN
MORE TIME AND EXTRA TIME.
PEOPLE IN SAN DIEGO CAN ASK FOR
EXTENSIONS UP TO 420 DAYS AND
IN SAN DIEGO ONLY ONE OUT OF
EVERY 10 VOUCHERS EXPIRES, MUCH
BETTER THAN HERE IN CHARLOTTE.
GETTING EVERYONE TO AGREE ON
THE BEST SOLUTION TO THE
AFFORDABLE HOUSING PROBLEM IS
NOT EASY.
>> TAKE INCLUSIONARY ZONES.
IT'S A CONTROVERSIAL IDEA THAT
HAS SEEN SUCCESS IN PLACES LIKE
DENVER COLORADO AND NOW WHEN
LOCAL STATE IS SEEING SIMILAR
RESULTS.
>> JULIE PORTER SEES IT
HAPPENING
>> IT IS STARTING TO HAPPEN HE
IN THE NEIGHBORHOODS.
>> ALL OF THE SUDDEN CHARLOTTE
IS BECOMING COMPLETELY
UNAFFORDABLE.
>> CHARLOTTE HAS A HOUSING
CRISIS STARTED WITH THE LOSS OF
MULTIFAMILY UNITS TO OUTSIDE
INVESTORS.
>> PUTTING A MINIMAL AMOUNT OF
MONEY INTO THE PROPERTIES AND
RAISING RENTS 20% TO 30% IN THE
FIRST YEAR AND 20% TO 30% THE
NEXT YEAR.
>> THE CITY CANNOT COMPETE.
>> IT IS BEYOND OUR CONTROL.
>> SOME EXPERTS SUGGEST
INCLUSIONARY ZONING AS A
POSSIBLE SOLUTION AND THESE
POLICIES GIVE DEVELOPERS
INCENTIVES WERE BUILDING AND
FINDING AFFORDABLE HOUSING.
>> HITTING STATE LAWMAKERS TO
TAKE ACTION IS AN UPHILL BATTLE
BUT DAVIDSON PLANTERS ARE NOT
WAITING THEY ENACTED A PLAN
REQUIRING BUILDERS SET ASIDE
12% OF THE DEVELOPMENT FOR
AFFORDABLE HOUSING.
THE MAYOR AND REALTOR ADMITS
THERE HAS BEEN PUSHBACK.
>> WHEN YOU ARE HAVING TO BUILD
AFFORDABLE HOUSING IN A TOWN
WHERE THE AVERAGE HOME PRICE IS
$500,000, ECONOMICS DO NOT WORK
OUT.
>> THAT IT IS WORKING OUT FOR
DAVIDSON AND DEVELOPERS CAN
MAKE A PAYMENT TO THE CITY IN
LIEU OF THE HOUSING REQUIREMENT
AND IT HAS RACKED UP A FUND OF
MORE THAN $2 MILLION PER
>> WE USE IT TO ACQUIRE LAND
AND POTENTIALLY EXISTING HOMES
AND THEN USE DOWN PAYMENT
ASSISTANCE AS WELL AS --
>> IT IS NOT A SLAMDUNK AND IN
SOME STATES COURTS HAVE STRUCK
DOWN ORDINANCES AS
UNCONSTITUTIONAL ACCORDING TO
THE GROUNDED SOLUTION NETWORK
INCLUSIONARY ZONING LAWS ARE ON
THE BOOKS IN 25 STATES PLUS THE
DISTRICT OF COLUMBIA.
>> CHARLOTTE IS AT A TIPPING
POINT I HAVE NEVER SEEN BEFORE
AND WE ARE GETTING CALLS EVERY
SINGLE DAY ON, I CANNOT AFFORD
MY RENT MY RENT GROWS $100,
$150.
>> A LITTLE MORE THAN 13,000
UNITS WERE UNDER CONSTRUCTION
AND ALMOST 10,000 APARTMENTS
PROPOSED IN THE CHARLOTTE METRO
AREA AS OF FEBRUARY WITH
NOTHING IN PLACE TO REQUIRE
THAT ANY OF THEM ARE SET ASIDE
FOR AFFORDABLE HOUSING.
>> THERE IS A TREMENDOUS AMOUNT
OF COOPERATION AMONG CIVIC
LEADERS AND NONPROFITS TO TRY
TO SOLVE THE PROBLEM THAT IT IS
GETTING AWAY FROM US SO
QUICKLY.
RENTS ARE RISING SO QUICKLY.
IT WILL BE VERY DIFFICULT TO
CATCH UP WITH THE PROBLEM AND
ACTUALLY SOLVE IT OR EVEN ABATE
IT.
>> JUST AHEAD, THINKING OUTSIDE
THE BOX TO SOLVE THE AFFORDABLE
HOUSING CRISIS
>> PLUS A LOOK AT THE CHARLOTTE
NEIGHBORHOOD AT THE BEGINNING
OF THE HOUSING CRISIS.