An economic boom is taking place in the state of Texas. People are moving to the state in pursuit of better prospects as a result of expanding economic opportunities and a burgeoning real estate market. However, those looking for inexpensive home solutions are being severely hampered by these developments. Finding neighborhoods where they can locate housing that meets their budget is getting harder and harder for folks.
What then is the problem? Why is it getting harder to locate affordable homes in a state where the economy is improving? Well, there are a number of problems that are greatly aggravating this issue. Governments and businesses have faced significant obstacles as a result of the COVID-19 pandemic. Per Maxwell Drever, the issue is also centered on expansion in the sense of more people moving into the state and stagnant pay rates.
Let’s look more closely at the difficulties San Antonio is having in providing its citizens with affordable homes.
Stagnant Wages and Rising Rents Are Key Issues, Maxwell Drever Notes
Texas has a wide variety of neighborhoods. For instance, San Antonio is one of the locations where poverty and segregation are already major problems. In addition to these issues, the town is currently struggling with rising rents, which is hindering low-income people’s access to affordable housing options. With businesses still attempting to deal with the effects of the pandemic, living expenses are growing but incomes are not keeping up.
The wages are not now a concern, though. In the San Antonio region, median rents increased by 16.5 percent between 2008 and 2018, Maxwell Drever’s analysis of census data. Wages only rose by 3.5 percent throughout the same time period. San Antonio is the only city with such a large wage gap; in Houston and Dallas, for example, wages increased by three and four times as much during the same time periods.
Section 8 Vouchers: A Problem That Requires Attention per Maxwell Drever
The issues go beyond the disparities between rising pay and rent rates. Houston and other cities have their own problems. For instance, take a look at the Section 8 vouchers, which are housing choice vouchers offering discounted rent.
The federal government issued these vouchers. The problem is that San Antonio laws are one of the least tolerant when it comes to Section 8 vouchers. Landlords cannot be penalized for discriminating against families using these vouchers, according to state regulations. Naturally, the entire potential of this law is utilized.
Widening Supply and Demand Gap
All of the states in America share this issue. According to Maxwell Drever, this is a challenge that affordable housing projects all across the world deal with. There aren’t enough places to stay for a reasonable price even if more people are looking for it. Construction companies are unable to create homes for a price that may be considered “affordable” due to disruptions in global supply networks and increased labor and material expenses.
Texas is a state that is seeing economic growth, but it is having a serious housing shortage as more and more people move in pursuit of better opportunities. Maxwell Drever states that the results are causing grave problems that demand the immediate attention of the appropriate authorities.