Introduction
Wealth inequality is causing a housing shortage for low-income families, the elderly and the disabled. Affordable Housing Commercial Assets will be great investments in the right locations!
⭕️RV Parks
⭕️Manufactured Home Parks
⭕️Apartments
In Texas alone, there is a 594,000 shortage of rental homes affordable and available for extremely low renters. Who are the extremely low-income renters in Texas (30% or less of area median income)?
18% are disabled
21% are seniors
47% are in the labor force
For the elderly (65 and up) and disabled with only Supplemental Security Income of $771 per month in Texas, one can afford $231 (30% of their paycheck). Social Security Income in Texas of $771 can not support the elderly and disabled. It would take an annual wage of 34,332 to afford a 1-bedroom apartment in Texas (30% of the salary is going to the apartment). If you were working $7.25 per hour, it will take you 91 hours a week to comfortably afford a 1-bedroom apartment in Texas.
Read Reports
The State of the Nation’s Housing 2019
Conclusion
Multifamily is a good long term plan due to the affordability issues many families are having. With housing prices and rents increasing, many families will not be able to afford a house. Another great alternative for many families looking for affordable housing are RV Parks and Manufactured Home Parks. Affordable Housing Assets will always be in demand. Even if wealth equality decreases, affordable housing should easily have an above 80% occupancy with many current markets at 95+% occupancy.