Affordable calculators help demystify the realities of low-income financing

The complex math involved in planning and financing affordable housing projects in Austin aims to help political leaders and housing advocates better study how developments are framed. Thanks to the first ever affordable calculator, it just got a little easier.

The calculator, available here for free, was created in partnership between the educational nonprofit HousingWorks Austin and the Urban Land Institute Austin. Using basic inputs in an online spreadsheet, users can adjust variables such as number of units, affordability level, and subsidy amount based on real estate trends in the zip code where the project is located. You can judge the feasibility of your project.

Long debated as a potentially useful tool for making affordable housing projects more financially transparent, the calculator was brought to life by former HousingWorks intern Aodhan Hemeon-McMahon as a planner in Buda. Created while I was doing my master’s degree at the University of Texas before

Nora Linares-Moeller, executive director of HousingWorks, said the calculator is meant to serve as an introductory step for those wanting to be more involved in policy and debates about affordability in Austin. said.

“We’ve been talking about how difficult it is for people to really understand financing, how complicated affordable housing development is, and I’ve heard from various people that it’s so complicated that no one understands it. “I like the idea of ​​publishing something as an educational tool, but I really like the idea of ​​having developers say, ‘Here’s how to set up the program,'” she said. is not designed for It’s for people trying to understand how it all works. ”

While the calculator uses publicly available data, such as Travis Central Appraisal District information on property values, to establish a baseline, HousingWorks Austin research manager Woody Rogers notes that individual, independent sources often accompany grants. He said he could not yet explain the terms and schedule. for affordable housing.

“These have different levels of funding they can get based on different requirements, approval processes, types of grants, and programs they participate in. It’s really good to have people try it. A lot of times it’s money that gives us a better sense of how much work and money it takes to build a home, especially one at a very low-income level.”

While the organization finalizes and tests the tool, ULI member groups, such as affordable housing developer Structure Development, are using data from projects the company has already completed or is in the process of developing. It helped me assess how accurate the results were.

Sarah Andre, CEO of Structure, said that political leaders and others who are pushing for more affordable units across cities can now use the calculator to become more involved in the process and find a variety of affordable options. He said he hopes to be able to make more informed decisions about how to fund projects based on levels and numbers. of the unit.

“The people I use it for are advocates for affordable housing and want to use it before they claim certain developments are in front of the (city) council.. “Before they defend a unit with a certain income, I hope they play. Use that to figure out what’s realistic,” she said. “From an advocacy standpoint or a layman’s standpoint, I definitely get the point of view that these developers are greedy and all they’re talking about is money. how the cost of land affects development, how zoning and the number of units that are restricted affect development.”

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