A pair of researchers argues that expanding rental assistance programs for low-income households is the most effective way to alleviate the housing crisis.
In a piece for The Conversation, Alex Schwartz and Kirk McClure outline the potential benefits of universal rental assistance, arguing that high housing costs are not always related to the housing supply.
According to the authors, “Even a massive infusion of new housing would not shrink housing costs enough to solve the crisis, as rents would likely remain out of reach for many households.”
For the authors, the most effective solution is expanding housing subsidies. “Renters with low incomes are especially unlikely to afford their housing: 81% of renters making less than $30,000 spent more than 30% of their income on housing, and 60% spent more than 50%.”
Rather than an overall housing shortage, the authors say their research reveals a lack of affordable units for low-income households and a difficulty in accessing assistance. “Only about 25% of eligiblge households receive rental assistance from the federal government.”
“By expanding rental assistance to all eligible low-income households, the government could make huge headway in solving the rental affordability crisis.” Giving renters cash assistance would eliminate the challenges posed by the Section 8 voucher program and make it easier for qualifying households to afford housing, save money in homelessness services, and make it easier to finance new affordable housing.
FULL STORY: What if universal rental assistance were implemented to deal with the housing crisis?
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