President's Message: Multi-faceted approach needed to resolve affordability crisis
As Realtors, it is important to invest in the communities in which one works, lives and makes a living. At Stark Trumbull Area Realtors, we take a multi-faceted approach working with regional stakeholders and elected officials to promote and protect the American dream of home ownership. Recently, Realtors and affiliated members in the banking and title industry helped make home ownership a reality for a family in Massillon through Habitat for Humanity.
Habitat for Humanity is helping to make home ownership a reality for many families throughout Northeast Ohio through its rigorous 18-month financial and home-making program.
For many, their home is their largest asset and a way of building generational wealth. However, there is a growing need for affordable housing throughout the region, state and country due to rising interest rates and stagnant building. Affordable housing is defined as housing that is between 60% and 120% of the area’s median income.
Currently median household income is $53,945 (2021) in Stark County, $46,954 (2021) in Trumbull County, and $54,114 (2021) in Carroll County.
In September the average sale price in Stark County is $211,255. In Trumbull County it is $169,535. In Carroll County the average sale price is $227,535. Currently interest rates are 7.1 percent for a 30-year fixed mortgage. With rising home prices and record high rates housing costs for many far exceed 30 percent of their monthly income.
An experienced Realtor has not only seen the market evolve but looks for solutions for their clients. At times this involves legislative action. Therefore, we continue to advocate for the First Time Homebuyers Saving Act that would allow first time buyers to open a tax-deductible savings account to assist with the purchase of a home.
As we work to find policy solutions programs like Habitat for Humanity and the recently featured Stark County Family Self Sufficiency Fund help preserve the American Dream of homeownership. Additional programs like down payment assistance programs exist in many communities throughout Stark, Trumbull, and Carroll Counties. A complete list of federal resources can be found at https://www.hud.gov/states/ohio/homeownership/buyingprgms and through the Ohio Housing Finance Agency https://myohiohome.org/homebuyerprogram.aspx.
Despite these initial financial hurdles, homeownership remains an essential part of growing wealth as housing equity grows on average 4.2% each year. With recent market trends Ohio homeowners have seen house values grow by 14% over the last year.
Marlin Palich is president of Stark Trumbull Area Realtors.
This article originally appeared on The Repository: President's Message: Multi-faceted approach needed to resolve affordability crisis
