AP
Albany, NY – Housing is becoming unaffordable for millions of New Yorkers amid declining incomes and increasing costs for rent and home ownership, state Comptroller Thomas DiNapoli said Monday.
DiNapoli analyzed Census data showing that the median statewide monthly housing costs increased 18.6 percent for renters and 9.9 percent for homeowners from 2000 to 2012.
During the same period, homeowners’ median household income decreased 1.6 percent and renters’ median household income dropped 7.1 percent.
Affordable housing is defined by the federal government as costing less than 30 percent of household income.
DiNapoli said more than 3 million households statewide paid at least 30 percent of their 2012 income for a place to live.
The share of households with rents above the affordability threshold increased from 40.5 percent in 2000 to 50.6 percent in 2012, and the percentage of homeowners above the affordability level rose from 26.4 percent to 33.9 percent in that period.
The pinch was especially severe for the nearly 28 percent of renters and 15 percent of homeowners who paid housing costs that were at least half of their household income, DiNapoli said.
“When half your income goes to pay for a place to live, you are going to be stretched thin on other everyday purchases,” DiNapoli said.
You are entirely off the mark.
There are plenty of people who can afford to pay CASH for these homes. They don’t need the banks.
Furthermore, lending has NOT eased, and if you believe it has, you are completely out of touch with reality. Whereas the banks would give loans 10 years ago by simply looking at your credit score, they now want proof of significant income. I know plenty of people that have been turned down in the past year for a mortgage. If you are not making a DOCUMENTED significant income, you can forget about a mortgage.
supply and demand is also impacted by banks giving people loans who cannot afford to pay back the loans – this was what caused the housing crisis 5 years ago; and once again lending has eased, so NYC prices have gone back up.
We need to find an out of town community to build up for lubavitchers. If enough people got together, it can happen. There’s a facebook page started this week getting ideas and input to make something like this a reality.
I make over $120k and I live in an 800 sq foot apt. I pay half my income in tuition and can’t afford to move. It is what it is. Time to move on from dreams of harchavah bgashmius. That’s not what hashem wants for me…
stop dreaming and move on.
i’m sure the people in Manhattan way back were in the same shoes as us….
wake up and move on
The only way that prices will go down is if the the govt completely cuts down on food stamps, section 8 etc….. its completely out of hand ..
So they say it’s unaffordable. It is. It’s about time they realized this. But what are they going to do about it? That’s the important part.
The price of what is now commonly a two family house in what is now central CH in the mid 70’s was 35 thousand dollars. The median income for NYC was around 13 thousands dollars. Which means a large house could be had at roughly 3 times the yearly income of one worker earning the median wage. As a point of reference, the median wage is now 44 thousand dollars. So from 3-1 to 20-1, this isn’t an ‘issue’ what politicians or anyone else can solve. It is what it is. It’s a lot like solving the breadline problem’in communist… Read more »
You are both living in La La Land. The CH market is based on supply and demand. There is currently huge demand and little supply. With yuppies pouring in by the thousands, the demand will only INCREASE and not decrease any time soon. For those working in Manhattan, CH is one of the best South Brooklyn locations, as it is within walking distance to the 2,3,4,5, trains which run directly into the city. Further, nobody cares if you and I can’t afford to buy a house. There are plenty of people, especially yuppies, who can easily afford to buy a… Read more »
it is time the community get fisher back in the picture in a real way. he takes his mission very seriously and does what he can on a personal level.
he sells his condos at almost cost plus financing etc.
we need to forget all politics, specially the ones that are 25-30 years old and get him back in the picture and he will make sure things change, and housing will be affordable in our neighborhood.
I have been holding out, living frugally, trying to save to be able to buy a house, but as the article says, it is very low quality you get for a lot of money. this observation only makes sense when you compare to small town USA, where a new home still costs around $100k, with a big front and back yard. wages are higher here in NYC, but proportionally, it seems the costs of houses are higher than the wages, etc.
The housing market WILL crash again; it’s inevitable. NYers cannot even afford to rent in today’s current market. Another housing crash is bound to happen within the next year or two. In Crown Heights, it’s become somewhat laughable; a place where rent stretches up to $2500 for 1000 sq ft and all around views of concrete and brick wall. When buyers refuse the market because the market doesn’t make any sense of course, the market ultimately MUST crash. You would be ridiculous to buy a home or invest in ANY real estate in today’s market. Now is the time to… Read more »