Bowen Island Affordable Housing Needs

What is a housing needs assessment?

Current housing situationFuture trendsGap between demand and supply at various incomes

Why do one?

To understand your community’s needsTo provide basis for affordable housing strategy

Definitions

Affordable – costs 30% or less of gross household incomeSocial/subsidized housing – developed under senior government programs and rent Geared to Income (RGI)Low end of market – market housing renting or selling at below market prices Non-market housing – housing renting or selling below market prices and protected from market price increase

Approach

Interviews with key informantsReview of housing demand and supply indicatorsAffordability analysis

Population

Predominantly families with children13.7% growth in Bowen population between 01 and 06GVRD growth 6.5% over same period

Age distribution 2001

0%

5%

10%

15%

20%

25%

30%

35%

0-14 15-24 25-44 45-64 65 +

Bowen Island

GVRD

Second home owners

Approx 300 in 200618% of housing stock

Off island residents

Substantial number of employees working on Bowen who live off-islandPotential source of population growthDifficulty finding employees

Households

1,339 in 2006 or 17% increaseGrowing more rapidly than populationDeclining household size

Median Incomes 2000

Median household income

Bowen Island

GVRD

All households $64,979 $49,940

One person households $33,671 $26,769

Two or more person households $74,236

$62,168

Dwelling stock

1,640 units1,339 occupied by residents300 second homes77% ownersRental units – Artisan Sq., Cates, sfd, suites Rising rental costs, ltd vacanciesOne social housing project with waiting list

Bowen residential sales prices

$-

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

$700,000

$800,000

$900,000

2003 2004 2005 2006 2007*

lowestprice

averageprice

medianprice

 Bowen Island GVRD

Year Lowest price

Average price

Median price

Single family

dwelling average

Apt condo average

2003 $ 190,000 $ 412,360 $ 340,000    

2004 $ 200,000 $ 478,778 $ 425,000 $ 526,798 $ 258,936

2005 $ 170,000 $ 639,702 $ 523,000 $ 85,000 $ 295,000

2006 $ 290,000 $ 692,445 $ 613,000 $ 640,000 $ 324,000

2007* $ 395,000 $ 814,839 $ 749,000    

Change 2003 to 2006 53% 68% 80%    

     Can qualify for a home worth *Median

Household Incomes 2000 Annual

Income

Can afford to pay

25% down

10% down

       

All households $ 64,979

$ 1,624 $ 312,685 $ 255,462

One person households$33,671 $ 842 $ 168,368 $ 137,556

2 or more persons $74,236 $ 1,856 $ 360,792 $ 294,765

Type of propertyHouse price

 Income needed

Non waterfront, assessed value 2007

$469,000 $100,000

Entry level 2007 asking price $395,000 $85,000

25% downpayment. 6.5% interest rate, 3 yr term

Interviews

Affordable housing rated serious issue

Affordable housing helps to maintain diversity

Affordable housing promotes strong community

What kind of housing needed?

Small cottagesTownhousesRental housing Secondary suitesSocial/subsidized housingAffordable entry level ownership housing

For whom?

A mix of peoplePriority to islandersFamilies/individuals with low incomesFamilies/individuals with modest incomesYoung peopleEmpty nesters Seniors

Issues

High incomes needed to purchase modest Bowen housing

Household incomes between $85,000 and $100,000 are now needed to buy entry-level housing and the typical non-waterfront single-family home

Moderate income earners cannot buy modest homes on Bowen today

House prices are divorced from the moderate incomes earned by many island households

A few very low-income households face extreme affordability issues

95 or 8% of island households were paying more than 30% of their income for shelter and could not afford the average priced rental units on Bowen

Limited housing options available to promote diversity

Housing stock on Bowen island consists predominantly of single-family dwellings

Priorities/gaps Very low income households - rent geared to income, perhaps suites & rent supplementRenters - low end market rental Moderate income families - entry level home ownershipEmpty nesters - smaller, well located units