Housing and Transportation Affordability
Housing affordability should not only incorporate the cost of housing but should also take into consideration the cost of transportation associated with the housing location.
RATIONALE
Housing affordability is typically defined as 30% of income, but this measure fails to take into account the highly variable costs of transportation associated with different home locations. True affordability is related to both housing and transportation costs. Areas where one can walk, bike and take transit to jobs and amenities offer affordable transportation options. Disclosure of housing and transportation costs encourages smart growth around urban activity centers and discourages urban sprawl, with its dependence on the automobile.
EFFORT REQUIRED
Little effort is required. This is an opportunity for information disclosure.
BENEFIT
Affordable housing and transportation options offers lower costs for households, vibrant neighborhoods and stronger local economic development.
RISKS
Disclosing the often hidden transportation costs of some urban locations will increase housing demand in some locations while decreasing it in others. In areas with lower demand, housing prices are likely to decline, potentially exposing some homeowners to a decrease, or loss of equity.
ACTION AGENT
The planning, economic development and/or sustainability office.
