BHC NEWS

Winter, December 2013

Quarterly Newsletter

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Inside this Issue

Housing Affordability p.1 Affordable Housing Workshop p.2

Habitat Broward Home Dedication p.2 Homeless Awareness Proclamation p.3

Housing Market Profiles p.4 2013 Rental Market Study p.4

Foreclosure Papers and Data p.5 Affordable Housing News p.6

Technology Updates p.7 Vision Statement & Contact Info p.8

BROWARD HOUSING COUNCIL

Throughout the county, especially here in South Florida, homeowners and renters continue to struggle with home affordability due to a lack of affordable housing stock and modest incomes. The U.S. Department of Housing and Urban Development (HUD) defines affordable housing as “a household to pay no more than 30 percent of its annual income on housing.” HUD goes on to cite “An estimated 12 million renter and homeowner households now pay more than 50 percent of their annual incomes for housing, and a family with one full-time worker earning the minimum wage cannot afford the local fair-market rent for a two-bedroom apartment anywhere in the Unit-ed States.” 1

National data is continuously released exposing the difficult hous-ing situation Americans are confronted with daily, as they try to sustain the most basic of needs, shelter. Transportation costs are the second largest contribution to cost-burdened homeowners and renters. Miami metro area topped the nation at 40 percent of its residents’ income spent on housing costs and 32 percent going towards transportation costs.2

Housing affordability has come to the forefront of the nation’s dialog and stakeholders have sought out inventive solutions. National awareness and communica-tion are necessary for change to occur and many exceptional approaches have been employed and gradually shed some optimism on the future of affordable housing.

HUD conducted a study, in September 2013, which spanned 20 years of low-income renters and found that preserving and rehabilitating the existing affordable housing units in areas near central-ly located transportation is the most cost effective solution3. These findings have been reinforced by such innovative projects as Metro 510 in Tampa, Florida (see page 4) and the newly launched Location Affordability Portal (see page 7). Solutions continue to be introduced and innovative practices will continue to provide options for affordable housing.

Sources: 1 Hud.gov portal.hud.gov/hudportal/HUD?src=/program_offices/comm_planning/affordablehousing 2 “Losing Ground: The Struggle of Moderate-Income Households to Afford the Rising Costs of Housing and Transportation” www.nhc.org/media/files/LosingGround_10_2012.pdf 3 “Preserving Affordable Rental Housing: A Snapshot of Growing Need, Current Threats, and Innovative Solutions”

Don’t know where to turn? Get Help...Dial 2-1-1

Broward can help you find food, housing, health care, senior services, child care,

legal aid and more. It’s free, confidential,

and multilingual. Available 24/7.

During Fiscal Year 2011-2012, 2-1-1 counselors handled

approximately 109,650 calls. For more detailed information

visit www.211-broward.org

This winter edition of the Broward Housing Council (BHC) quarterly newsletter marks the one year anniver-sary of its inception. Over the past year the newsletter has garnered a national award and a growing readership.

We encourage you to share the BHC newsletter with your colleagues because the more affordable housing stakehold-ers we can reach the more we can affect positive changes.

The BHC quarterly newsletter keeps its subscribers up-to-date on what is happening in the affordable housing and homelessness world, special events, upcoming opportuni-ties and website highlights. We welcome your comments and suggestions for future articles. Please forward your comments and suggestions to bhc@broward.org.

We wish you all a happy and healthy holiday season.

HOUSING AFFORDABLILTY RELIES ON TRANSPORTATION COSTS

Downtown Miami commute

Winter 2013, page 1

AFFORDABLE HOUSING WORKSHOP

Broward County’s Housing Finance and Community Development Division presented an affordable housing workshop for the Broward County Commissioners on October 15, 2013. The workshop delivered the message that as County’s housing market strengthens, home and rental prices increase and the need for affordable housing in Broward County has become even more crucial and widespread.

The Commissioners requested the workshop, citing the concern that there is an urgency to reexamine this issue before the problem worsens. The workshop was held by Ralph Stone (Director, Housing Finance and Community Development Division), Henry Sniezek (Director, Planning and Environmental Regulation Division), and Dr. Ned Murray (AICP, Associate Director, The Metropolitan Center at Florida International University).

Mr. Stone and Dr. Murray discussed, with Commissioners, national and local data which verifies that South Florida is ranked highest in the nation for severe housing cost burden. Mr. Sniezek then reviewed four potential options formulated to tackle the lack of affordable housing stock in Broward County, The Commissioners deliberated and called a second workshop to be held in

HABITAT FOR HUMANITY OF BROWARD DEDICATES ITS 350TH HOME

Habitat for Humanity of Broward (Habitat Broward) celebrated the completion of its 347th, 348th, 349th and 350th homes at a dedication ceremony held on Saturday, October 19, in Miramar, Florida. The occasion also marked the 30 year anniversary for Habitat Broward. Guests included Broward County District 8 Commissioner/Mayor Barbara Sharief, Miramar’s Mayor Lori Cohen Moseley, Vice Mayor Alexandra Davis, home sponsors, and Habitat Broward’s board, staff and volunteers.

The Franklin, Louima, Murray and Torres families expressed deep gratitude to all those who helped them attain their goal of homeownership. “Everyone played a part in making our dreams of homeownership come true. Whether you gave financially, volunteered to build our homes or encouraged us along the way, your support will always be remembered by our families,” said Lawrence Murray, Habitat homeowner, who spoke on behalf of the families.

Perry Ecton, executive director of Habitat Broward, recognized each of the sponsors who con-tributed to the success of the project, including Broward County who provided the funding to purchase the property. The home sponsors, which comprised of Sunbeam Television Corp.(WSVN-TV), American Express, Publix Supermarkets, First Presbyterian Church of Fort Lauder-dale and Burdette Beckmann, Inc., collectively presented the families with the keys to their new homes. Following the dedication ceremony, guests enjoyed light refreshments and toured the new homes.

A requirement to becoming a Habitat homeowner is that each family must invest a minimum of 400 sweat-equity hours helping build their future home and the future homes of others. Through donations of money, materials and volun-teer labor, Habitat Broward is able to purchase the land, build homes and sell them at an affordable price through its interest-free mortgage program. Habitat homeowners pay no more than 30 percent of their income on housing, which provides them the opportunity to achieve financial stability and the ability to save for their future. Habitat Broward invests the mortgage payments into new home construction, thus serving more families in need of safe, decent and affordable housing.

For more information or to learn how to become involved, please visit habitatbroward.org.

Pictured from left to right in the photo: Habitat Broward Board Chairman Ian Berger, Broward County Mayor Barbara Sharief, Habitat Broward Executive Director Perry Ecton,

Broward County Housing Finance and Community Development Director Ralph Stone, Miramar Mayor Lori Cohen Moseley and Miramar Vice Mayor Alexandra P. Davis.

New Habitat homeowner, Lawrence Murray, speaking on behalf of the four families.

Winter 2013, page 2

The Broward County Board of Commissioners approved a proclamation to recognize Broward County’s participation in National Hunger and Homeless Awareness Month. On November 13, 2013, Former Vice Mayor Barbara Sharief presented the proclamation to Michael Wright, administrator of the Broward County Homeless Initiative Partnership (HIP). Mayor Sharief sits on the HIP board and has highlighted many homelessness initiatives including the Homeless Management Information System (HMIS).

Broward County’s Hunger and Homelessness Awareness Month Events:

Homeless Initiative Artwork A collection of nearly 50 pieces of artwork, consisting of drawings, paintings and pictures went on display through November 15 on the second floor common area of Broward County’s Main Library, 100 S. Andrews Ave., Fort Lauderdale. The collection was a com-pilation of work submitted by 14 individuals/families who have been, or who are, homeless. “We all have hidden talents,” Wright said [at the opening], “and this show of artwork will reveal talents that usually are not readily visible by the public.”

100,000 Homes Campaign Communities throughout the United States are identifying and finding homes for their most vulnerable and chronically homeless neighbors. Members of the HIP board and other local agencies participated in a two-day “boot camp” designed to create a registry of homeless people in Broward County and line up a supply of housing and service resources to help them. “This is part of our Continuum of Care program,” Wright said. “We’ll register identified homes the week of January 22-29 with the goal of having the County’s chronically homeless off the streets by 2015.”

Persons Experiencing Homelessness Safety Education Initiative Throughout November, volunteers with HIP coalition’s Safety Education Initiative provided presentations at major feeding sites on “Staying Safe While Living on the Street.” Presenta-tions, developed by a committee comprised of staff from eight provider agencies and four homeless consumers, included safety tips, non-violent methods of escape and a whistle to alert others of an attack. “Until we can get all persons experiencing homelessness off the street and into housing, we want to ensure that they will be safe,” said Lorraine Wilby, chair of the committee.

Transgender Community Event: Accessing Services Meeting The Homeless Initiative Partnership, Broward County Human Rights Section, along with sev-eral Florida Atlantic University professors and students collaborated with the community to host Transgender Community Event: Accessing Services Meeting that gave service providers insight into issues transgender individuals may face attempting to access the County’s Continuum of Care.

Source: Broward County Press Release, November 6, 2013 webapps.broward.org/newsrelease/AdminDisplayMessages.aspx?intMessageId=4891

Mayor Barbara Sharief presenting the Homelessness Awareness proclamation to Michael Wright, Homeless Initiative Partnership (HIP) Administrator

Michael Wright, HIP Administrator

BROWARD COUNTY CELEBRATES NATIONAL HUNGER AND HOMELESS AWARENESS MONTH

Winter 2013, page 3

2013 Rental Market Study: Affordable Housing Needs for the State of Florida

Shimberg Center for Housing Studies at the University of Florida prepared the 2013 Rental Study for Florida Housing Finance Corporation. The purpose of the report was to provide the renter data of low-income (60 percent of area median income/AMI) and cost-burdened (paying at least 40 percent of income toward gross rent).

Key Findings:

Low income, cost-burdened renter households increased 29 percent from 2005-2011

Florida renters rose 10 percent, homeownership fell 3 percent from 2005-2011

Median rents increased while median incomes decreased from 2000-2011

Cost burden rates rose between 7 to 28 percent for all groups of low income renters

30 percent of all low-income cost burdened renter households are headed by someone age 55 or older

For household incomes of 0-30 percent AMI, Florida is short 315,000 units

Per 100 households with incomes of 0-60 percent AMI, Fort Lauderdale has 80 or fewer affordable units available

Read the full report here: http://www.shimberg.ufl.edu/publications/Full_RMS_Needs.pdf

Housing Market Profiles for Fort Lauderdale-Pompano Beach-Deerfield Beach, Florida

The U.S. Department of Housing and Urban Development (HUD) publishes a housing market snapshot of economic conditions, sales and rental data from a variety of metropolitan areas throughout the country.

Report highlights:

During the past 2 years, economic conditions in the Fort Lauderdale metropolitan area improved after 3 years of economic decline from 2008 through 2010.

During the 12 months ending January 2013, sales of existing homes totaled nearly 27,750, an increase of 3,700 homes, or 15 percent and the average price increased 8 percent to $202,800.

New home sales averaged 1,375 homes annually from 2009 through 2011, and the sales price averaged $321,700 during the same period.

As of February 2013, 16.9 percent of home loans were 90 or more days delinquent, were in foreclosure, or transitioned into REO (Real Estate Owned), down from 20.7 percent in February 2012 (LPS Applied Analytics data).

The Fort Lauderdale area has a higher rate of distressed loans than the state or nation.

Overall rental housing market conditions in the Fort Lauderdale metropolitan area are currently soft, with an estimated vacancy rate of 8.3 percent, although conditions in the apartment market are tight.

The average asking rent increased 3.7 percent during the first quarter of 2013 compared with the average asking rent recorded during the first quarter of 2012 and rose 1.0 percent in the fourth quarter.

Nearly 400 apartment units are currently under construction at the Broadstone Cypress Hammocks development in Coconut Creek. Rents start at $1,100 for one-bedroom units, $1,500 for two-bedroom units, and $1,800 for three-bedroom units, and construction is expected to be complete in the spring of 2014.

Read the full report here: http://www.huduser.org/portal/periodicals/USHMC/reg//FortLauderdaleFL_Profile_1q13.pdf

Winter 2013, page 4

FORECLOSURES

WORKING PAPERS AND DATA

“How Do Foreclosures Exacerbate Housing Downturns?”

Published by Joint Center for Housing Studies

Abstract: The recent housing bust precipitated a wave of mortgage defaults, with over seven percent of the owner-occupied housing stock experiencing a foreclosure. This paper presents a model that shows how foreclosures can exacerbate a housing bust and delay the housing market ’s recovery. By raising the ratio of sellers to buyers, by making buyers more selective, and by changing the composition of houses that sell, foreclosures freeze up the market for retail (non-foreclosure) sales and reduce both price and volume. Because negative equity is necessary for default, these general equilibrium effects on prices can create price-default spirals that amplify an initial shock. To assess the magnitude of these channels, the model is calibrated to simulate the downturn. The amplification channel is significant. The model successfully explains aggregate and retail price declines, the fore-closure share of volume, and the number of foreclosures both nationwide and across MSAs. While the model can explain varia-tion in sales across MSAs, it cannot account for the aggregate level of the volume decline, suggesting that other forces have re-duced sales nationwide. The quantitative analysis implies that from 2007 to 2011 foreclosures exacerbated aggregate price de-clines by approximately 50 percent and declines in the prices of retail homes by approximately 30 percent.

Read the report in full here: www.jchs.harvard.edu/sites/jchs.harvard.edu/files/w13-8_guren.pdf

“The Foreclosure Crisis and Community Development: Exploring REO Dynamics in Hard-Hit Neighborhoods”

Published by Furman Center for Real Estate & Urban Policy

Abstract: As the foreclosure crisis continues, many communities are faced with a glut of properties that have completed the fore-closure process and are now owned by banks or other mortgage lenders. These properties, referred to as “real estate owned (REO),” often sit vacant for extended periods and, recent studies suggest, depress neighboring property values. They also impose significant costs on local governments, which must try to address the risk of crime, fire, and blight that vacant buildings pose. In addition, many worry that REO properties sold to unscrupulous short-term investors hasten neighborhood decline.

Read the report in full here: furmancenter.org/files/publications/REOHardHitWorkingPaperApril2013.pdf

Foreclosure Data Sets

Description: To help states and communities make informed decisions about how to allocate and spend their resources for fore-closure prevention and neighborhood stabilization, the Local Initiatives Support Corporation (LISC) has developed datasets with foreclosure "risk scores" at the ZIP Code level within each state and also within each metropolitan area. These scores incorporate measures of subprime lending, foreclosures, delinquency, and vacancies.

How to Use Data: State and local elected officials, government agency staff, and community leaders can use these risk scores to quickly assess relative foreclosure risk within states, localities, or metropolitan areas and allocate resources accordingly. Further, policy analysts can adapt the LISC methods to local circumstances by assigning different weights to the individual factors provided or by adding additional criteria from outside data sources.

Visit: www.foreclosure-response.org/maps_and_data/lisc_data.html

Winter 2013, page 5

LOCAL AND NATIONAL AFFORDABLE HOUSING NEWS

Broward County Sets New Rules for Homeowners Associations

Broward County Commissioners have passed an amended ordinance to Broward County’s Human Rights Act which helps protect people from housing discrimination. The new rule sets in place two items for potential residents: all denied applications must be accompanied by a written notice (within 45 days) explaining the reason for rejection, and applicants must be notified within 15 days if their ap-plications were not properly filed out. These new measures were put in place to help eliminate senseless discrimination that was found to be a major concern among some homeowner associations. “Disabled individ-uals, the color of one's skin, a person’s sexual orientation, the language that one speaks or how somebody may dress really does affect whether they get the quiet whisper,” said Commissioner Wexler.

Source: Broward County Press Release; September 11, 2013 http://webapps.broward.org/newsrelease/AdminDisplayMessages.aspx?intMessageId=4746

Tools for Preserving and Planning Affordable Housing

Integrated datasets provide valuable and comprehensive insight into local, state and federal subsidy data in addition to targeted neighborhood affordable housing data. The layered data is then put into databases which offer stake-holders a portal to easily obtain the areas that affordable housing projects and funding are needed most. New York University (NYU) Furman Center's and Shimberg Center at the University of Florida are leaders in creating innovative housing sustainability models for both public and private sectors.

The Data Search Tool from the Furman Center

Image : Furman Center for Real Estate & Urban Policy,

New York University

Source: HUD User –Evidence Matters; September 30, 2013

www.huduser.org/portal/periodicals/em/summer13/highlight2.html

"Building Support for Affordable Homeownership and Rental Choices"

The Center for Housing Policy published the brief “Building Support for Affordable Homeowner-ship and Rental Choices: A Summary of Research Findings on Public Opinion and Messaging on Afforda-ble Housing.” Stakeholders in affordable housing are now armed with communication tools specifi-cally targeted at expertly conveying the issues of affordable housing to engage the public and inform lawmakers. “Building Support” is a culmination of 35 affordable

housing communication studies from two segments, public opinion and language and messaging.

Top 5 Public Opinion Findings:

1. Housing cost issues tend to have the most traction in high-cost areas.

2. Housing cost concerns are often passive and do not translate into political support.

3. Homeownership solutions are particularly attractive to the public.

4. Personal familiarity with housing challenges has increased.

5. Focus on specific beneficiaries.

Source: The Center for Housing Policy, October 11, 2013 www.nhc.org/media/files/2013_10_CommsLitReview.pdf

Eradicating Veteran Homelessness

Department of Veterans Affairs (VA) announced that it will supply $8.8 million in grants for transportation, housing and other supportive services for homeless veterans. The Grant and Per Diem (GPD) Program will disperse the funds through-out 37 states to subsidize 164 supportive projects. Projects include rehabilitating housing, procuring vehicles for trans-portation to supportive facilities and employment locations, enhancing veteran security, and providing outreach efforts to veteran communities.

“Since 2009, homelessness among Veteran has decreased more than 17 percent. As part of President Obama’s and Shinseki’s five-year plan to eliminate Veteran homelessness by 2015, VA has committed over $1 billion in fiscal year 2014 to strengthen programs that prevent and treat the many is-sues that can lead to Veteran homelessness.”

Source: VA Press Release, November 18, 2013 www.va.gov/opa/pressrel/pressrelease.cfm?id=2492

Winter 2013, page 6

NEW TOOL: LOCATION AFFORDABILITY PORTAL

U.S. Housing and Urban Development (HUD) and U.S. Department of Transportation, as part of the partnership for Sustainable Communities, have collaborated in the creation of the Location Affordability Portal (LAP) which is a tool aimed at giving consumers, policy makers and developers a clear picture of the living costs involved throughout the nation. The LAP not only calculates housing costs but also transporta-tion costs by region and neighborhood. HUD Secretary Shaun Donovan remarked that consumers often underestimate housing costs by only factoring in mortgage/rents costs and neglecting to incorporate trans-portation costs which add significant burden to housing affordability budgeting.

Online portal: www.locationaffordability.info

TECHNOLOGY UPDATES

BROWARD’S POINT-IN-TIME COUNT

This year, Broward County has supplemented the preparation for the annual Point-In-Time Count (PIT), taking place on January 23-24, 2014, with a new website, Facebook and Twitter pages. “A Point-in-Time count is a statistically reliable count of people experiencing homelessness during a 24-hour period within the last 10 days of January. The count includes both sheltered homeless (those living in emergency shelters or transitional hous-ing) and unsheltered homeless (those living in places deemed not suitable for human habita-tion).” The user-friendly website and social media accounts will allow the community to seamlessly stay connected, get instant updates and access to available resources.

Visit the website at www.browardpointintime.org

To get involved in Broward County’s 2014 PIT please register with HandsOn Broward www.handsonbroward.org

www.facebook.com/pages/Broward-County-Point-In-time-Homeless-Count/655834997789951

twitter.com/Broward_PIT

Read the 2013 Point-In-Time County Report here: www.broward.org/HumanServices/CommunityPartnerships/HomelessInitiativePartnership/Documents/2013HomelessPITCountReport.pdf

Winter 2013, page 7

Council Members

Monica Navarro, Chair

Lisa Vecchi, Vice Chair

Robert Baldwin

Richard Barkett

George Castrataro

Ann Deibert

Frances Esposito

Paul Figg

Caryl Hattan

Richard Lemack

Gino Moro

Mercedes Nunez

Dr. Rosalind Osgood

Frank Schnidman

Marcia Barry-Smith

Henry Sniezek

Lois Wexler

Scan this QR code to visit the Broward Housing Council’s

website on a smartphone

Learn more by visiting the website at: www.BrowardHousingCouncil.org

Vision Statement

All residents of Broward County should have opportunities to access safe, de-cent and affordable housing countywide which is the cornerstone for healthy,

successful and sustainable communities.

Contact Information

Broward County Housing Finance and Community Development Division Broward Housing Council

110 Northeast 3rd Street, Fort Lauderdale, FL 33301

Office: 954-357-4900 Fax: 954-357-8224

Email: bhc@broward.org

Winter 2013, page 8

The Broward Housing Council Quarterly Newsletter and Website

are both recipients of National County of Information

Officers (NACIO) Awards