Housing affordability concerns are forcing many Texans to consider relocating out of state.
The Dallas Morning News cites a new survey by the Texas Affiliation of Affordable Housing Providers (TAAHP) that asked 1,100 residents about the costs of housing. Nearly one in five respondents said they either considered or would consider leaving Texas because of rising housing costs, while 14% said they would consider moving to a less expensive housing market within the state. Still, 55% of respondents said they would not consider leaving the state because of housing costs.
The survey found 75% of Texas renters were dealing with housing costs that rose over the past year, with more than half (57%) having to cut back on daily expenses including groceries to cover their housing-related expenses. TAAHP reports that nearly 45% of 4.2 million renter households in the state spend more than 30% of their income on housing, with over 80% of extremely low-income renters devoting more than half their income on housing.
Furthermore, the survey found 56% majority of Texans – and 66% of renters – complaining that state officials are not focused on housing affordability issues, with nearly one-third of respondents stating this should be a top priority for lawmakers.
“We now have some data that actually says what we’ve been talking about,” said Roger Arriaga, executive director of TAAHP. “If the governor or the legislators really want to get people into being homeowners, then they need to turn their focus to serving the people who are in a rental state. That particular area is not getting any better.”
compared to Colorado, Texas housing prices are surprisingly affordable. I think Texas has a problem with property tax rates being substantially higher than in many states. Property taxes are really a dishonest system where assessors use fraudulent assessment techniques to improperly and often fraudulently value houses to then extort taxes based on a fraudulent value at the market. It doesn’t support when you have a high tax rate and high valuations that aren’t supported by the general housing market. That creates housing costs in terms of either rent or ownership costs that become unsustainable. It’s always surprised me that Texas has had a surprisingly low rate of real estate appreciation coupled with enormously high taxes, which mean costs that you’ll never recoup.
Well Well Well, here I thought California was the problem, turns out California is just the scapegoat to these people to hide their own inequities.
I think the property tax issue isn’t strictly a “Texas” problem. I do both residential and commercial real estate for a living. In almost every case, the “Tax” issue is passed on to the tenant in either (nnn fees) for commercial or a higher rental rate for residential. Either way, the tenant is paying property taxes even though it’s technically not their problem. If you want to assess where those dollars are going, download the state’s budget and take a look at the state “municipal code” which specifies where cities are allowed to take in revenue. The city budgets, the county budgets and the state budgets should all give a clear indication of where that money ends up.