Market-rate housing is a term that confuses many people. With the announcement of our development project with Davenport Properties, we want to take a look at what this means for the teachers and community of Springfield, Massachusetts.
For housing to be considered affordable, it means you spend 30% or less of your total income on housing. This leaves you with 70% of your income to spend on additional bills, food, transportation, and savings.
Many people, especially in larger cities, are spending more than 30% of income on housing. In the case of teachers who work in cities, the cost of housing is often an issue.
HUD offers affordable housing options throughout the country for people and families who spend more than 30% on housing.
Market-rate housing means that rent is set at a rate that is comparable to other housing units in the area. New construction is costly, which means that new housing developments frequently come with high rents.
In the case of Willy’s Overland Redevelopment Housing Initiative, Davenport Properties and partners of the city of Springfield wanted to create market-rate housing catered to teachers and welcoming to millennials and baby boomers.
As we build 60 new units in this first building, we are focusing heavily on the building amenities and making each unit functional for the people who live there. These brand new housing units will feature the quality and design that The Horton Group is known for. Knowing that the city of Springfield is dedicated to making this market-rate project affordable to those living there makes the project even more meaningful.