FAA Releases Home Affordability Toolkit
On Friday, August 9, the Florida Apartment Association (FAA), in conjunction with the Apartment Association of Greater Orlando (AAGO), released the Housing Affordability Toolkit, a report examining the home affordability challenge in Florida. The report includes results from a survey of what incentives most motivate developers who construct Florida apartment communities. Key findings in the report include:
- 13.3% population growth in Florida since 2010
- 35% of Floridians rent their homes
- 47,814 apartment homes would need to be added yearly to keep up with demand through 2030;
- 33,688 apartment homes are projected to be added in 2019, far below annual need;
- 22% of Florida renter households are extremely low-income
- 428,622 is the shortage in rental homes needed for extremely low-income renters today
- #1 obstacle in building additional apartment homes, including affordable units, is “not in my backyard” (NIMBY) resident opposition, followed by other factors like financing and compliance burden for the project.
- 1) Reduced or eliminated impact fees, 2) non-ad valorem property tax discounts, and 3) density bonuses were the top incentives developers said would facilitate construction of more units is
- 2% of developers expressed a level of interest building affordable housing if the appropriate incentives were provided by a local government.
This report was shared with Florida media outlets, as well as City and County officials across the state. The report will help our industry have more effective discussions with local governments regarding how to best address the need for more affordable housing.