2006 data demonstrates gaps between income, housing costs

MaineHousing posts local housing stats online

May 2007

While the Genesis Fund is best known for its nimble and creative assistance to Maine nonprofits, we occasionally become fascinated by statistical analysis of Maine's housing climate. This is one of those times.

For the first time MaineHousing has posted detailed local housing information online at www.mainehousing.org/reports.html (from there click on "Housing Facts").

Reports detail homeownership facts and rental affordablility figures for the entire state and for each county. In addition, the reports break down median home prices and median household income for municpalities in each county. Separate reports are also included for our two congressional districts and for 28 individual housing markets (and the muncipalies therein). Additional information in the rental facts reports pertains to assisted housing and household demographics.

Below is a short summary of the findings. Please use the link above to find detailed information about your community.

· Between 2001 and 2006 the median home price in Maine rose 68.3% (from $118,900 to $185,000) while median income rose 17.2%. (from $40,862 to $44,488).

· In 2006, 66.6% of Maine households (370,395) were unable to afford a median priced home (i.e. enough income to cover mortgage, taxes, insurance without exceeding 28% of gross income). While the 2006 figure is down slightly from the 2005 high of 68%, it is up from the 2001 figure of 54% of households (273,260) unable to afford a median price home. That means close to 100,000 additional Maine households were priced out of a home in their community over a five-year span.

· The average rent for a two bedroom apartment rose 30.4% during the same five-year period.

· The percentage of renters paying more than 30% of their household income for rent rose from 38.3% in 2001 to 44.4% in 2006.

· The median household income for renters was $28,387 in 2006. This reflects the considerable difference of $16,000 between Maine median income and the income of those who rent.

Also of interest is the recent report from the Margaret Chase Smith Policy Center at the University of Maine, "Poverty in Maine - 2006: Statewide Patterns."

 

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