Housing in Troy Over the Last Decade

Looking at some Census data over the past ten years shows some interesting insights

Over the last decade, Troy has witnessed significant changes in its housing market, as revealed by the latest American Community Survey five-year estimates. A detailed analysis of this data sheds light on the trends in average house values, rental rates, and the makeup of housing types, underscoring the importance of strategic policy interventions to navigate the challenges and opportunities these trends present.

Market Dynamics and Growth

The city's housing market has shown robust growth, with average house values escalating from $123,800 in 2013 to $176,000 in 2022, marking an increase of 42%. This upward trajectory is mirrored in the rental sector, where average rents increased from $704 to $888 over the same period. Similarly, the typical mortgage payment rose from $1,135 to $1,233 over the decade.

Furthermore, the market has seen a gradual shift towards single-family detached homes, now constituting 71.7% of housing, up from 65.8% a decade ago. This shift is notably significant, highlighting evolving housing preferences within the community. In 2017, Troy embraced the Troy Downtown Riverfront Strategic Development Plan, one of the most comprehensive studies of the community in at least a decade.

One key insight from the report urged the community to diversify its housing options. Data from MKSK in 2015 showed that 66% of Troy's housing was single-family detached. The report highlighted a mismatch between supply and demand, noting, "about 93% of what gets built in Troy is single-family detached housing, but only half of national consumers prefer that, leaving about a third of households wanting something else without a way to get it." The study estimated a demand for 40 to 70 new housing units downtown per year.

Despite these recommendations, census data indicates a trend towards an increased proportion of single-family detached units, nearly 72%, diverging from the desired direction for housing diversity. This discrepancy suggests an urgent need for solutions to address housing issues, as delays could complicate future interventions.

Strategic Policy Considerations

Enhancing Housing Affordability and Diversity

To address housing challenges, adjustments in zoning laws could encourage a mix of housing types, catering to diverse demographics and income levels. The city is currently revising its Comprehensive Plan, with a subsequent update to the Zoning Code expected. These changes could introduce regulations more aligned with the community's current and future needs.

This publication also talked about the possibility of piggy-backing on a new program offered by the State of Ohio to help make housing more affordable to first-time home buyers.

Supporting Low-Income Households

With rising rents, targeted support for low-income households becomes increasingly critical. While the city offers rental assistance and utility and home repair programs, enhancing awareness and accessibility of these initiatives is essential. The Residential Exterior Housing Improvement Loan Program, for example, could benefit from improved marketing to ensure widespread community awareness. You can learn more about the program here. Investigating barriers to program utilization can further enhance their impact, contributing to community stability.

Fostering Community Engagement and Economic Development

Stimulating local economic development and engaging the community in planning processes can improve housing affordability relative to income, fostering a cohesive and vibrant Troy. Increasing involvement and input in the city’s Comprehensive Planning process is a vital step towards bridging existing gaps.

As Troy navigates its housing market dynamics, the synergy of targeted policies and community engagement will be paramount. The trends and insights from recent data underscore the need for thoughtful intervention and collaboration across sectors. By addressing affordability, promoting housing diversity, and supporting low-income households, Troy can ensure its housing market growth benefits all residents, setting a standard for local civic engagement and policy innovation.

Thank you for reading today's Civic Capacity Newsletter. Feel free to share this information with friends and neighbors, and we welcome your ideas and insights in the comments.