City Councilman Ron Menor wants to make it easier for those at the lowest income levels to benefit from rules that require developers to set aside affordable housing units.
Menor wants the city to consider:
» Reducing the maximum income a household must earn to qualify for affordable units to 120 percent of Oahu median income, from the current 140 percent of median. (This would make more units available for lower-income people.)
» Increasing the percentage of required affordable units to a minimum 15 percent reserved for households earning no more than 80 percent of median income, from the current 10 percent.
» Increasing the buyback period for affordable sales units to 15 years from the current 10 years.
» Increasing the minimum time an affordable rental must remain in the affordable category to 50 years from the current 10 years.
» Requiring a minimum of 30 percent of affordable units be rental units. Currently, all affordable homes required of a developer can be sales units.
The U.S. Department of Housing and Urban Development has defined median income for a family of four on Oahu as $82,600 annually. Based on that, a family of four:
» Making 80 percent of median makes $76,640 (not truly 80 percent of $82,600 due to HUD formulas that take into account high housing costs) and is eligible to purchase a home for $374,980 or pay $1,820 in monthly rent.
» Making 120 percent of median makes $99,120 and is eligible to purchase a home for $615,588 or pay $2,342 in monthly rent.
» Making 140 percent of median makes $115,640 and is eligible to purchase a home for $718,186 or pay $2,732 in monthly rent.