There are various housing assistance programs in Charlotte. What they are, and how to get help

The combination of skyrocketing home prices and rising rents in and around Charlotte has made some turn to affordable housing options.

Often used as an umbrella term, affordable housing in fact has a specific definition. But there are a variety of housing assistance options out there, such as subsidized housing and workforce housing.

In Charlotte, that means there are various systems and programs folks dealing with housing insecurity can look into when trying to find a place to live.

Here’s what to know about the different types of housing assistance programs and options from each category that are are available in the Charlotte area:

What is affordable housing?

The federal Department of Housing and Urban Development defines affordable housing as “housing on which the occupant is paying no more than 30% of gross income for housing costs, including utilities.”

It’s often used as an umbrella term for all kinds of housing assistance programs.

Available affordable housing Charlotte

The bulk of Charlotte’s “existing affordable rental options are large-scale, naturally occurring affordable housing,” the city’s Housing and Neighborhood Services Office says. “This means the unit is not subsidized by the government or restricted to certain income levels.”

“Charlotte has approximately 81,000 of these units,” per the city, “but the supply is decreasing.”

To get help from the city finding affordable housing units, you can call 211 or visit nc211.org. Some real estate sites, such as Apartments.com, allow you to narrow your search down to complexes with affordable housing options.

Additionally, the Charlotte Housing Authority “administers approximately 100 public housing units, 8,550 Housing Choice Voucher units, and 1,050 local, non-traditional units,” according to HUD. The city also helps some developers finance affordable housing developments through the Housing Trust Fund.

You can find more information on both options at charlottenc.gov/HNS/Housing/Affordable-Housing.

What is subsidized housing?

HUD defines subsidized housing as “a generic term covering all federal, state or local government programs that reduce the cost of housing for low- and moderate-income residents.”

“Housing can be subsidized in numerous ways — giving tenants a rent voucher, helping home buyers with down payment assistance, reducing the interest on a mortgage, providing deferred loans to help developers acquire and develop property, giving tax credits to encourage investment in low- and moderate-income housing, authorizing tax-exempt bond authority to finance the housing, providing ongoing assistance to reduce the operating costs of housing and others,” the agency says.

Subsidized housing in Charlotte

There are multiple programs that fall under the umbrella of subsidized housing in the Charlotte area.

House Charlotte Down Payment Assistance is a city program that “offers deferred forgivable loans to low- and moderate-income families eligible to purchase a home within the city limits. For more information, call 704)-705-3999.

You can use HUD’s resource finder, resources.hud.gov, to locate HUD-subsidized apartments and get information on applying.

“Housing Choice Vouchers,” also known as Section 8 vouchers, are distributed by local public housing authorities to help folks struggling to find an apartment and pay rent. To get a voucher, you need to go through your local public housing authority.

“Some PHAs have long waiting lists, so you may want to apply at more than one PHA,” HUD advises. “Your PHA can also give you a list of locations at which your voucher can be used.”

To get help locating PHAs in North Carolina, visit hud.gov/states/north_carolina/renting.

At the state level, the North Carolina Housing Finance Agency helps finance affordable housing options and also offers “low-cost mortgages,” down payment assistance and foreclosure prevention assistance. For more information, visit nchfa.com.

What about workforce housing?

Workforce housing is, according to the National Association of Realtors, housing that “can be reasonably afforded by a moderate to middle income” person and “critical workforce” that’s “located in acceptable proximity to workforce centers.”

Different organizations and communities have different housing cost “thresholds” for what qualifies as “reasonably” affordable.

The Urban Land Institute, for example, puts it at “housing that is affordable to households earning 60 to 120% of the area median income.”

Workforce housing in Charlotte

The median household income in Charlotte is $65,359, according to the U.S. Census Bureau, meaning that under the Urban Land Institute’s definition, workforce housing would need to be affordable for folks with a household income between about $39,215 and $78,430.

Using the 30% rule, a common financial recommendation that one not spend more than 30% of their monthly gross income on housing, a home or apartment would be considered “affordable” for that income bracket if the monthly cost was between about $980 and $1,960.

Real estate websites, such as Apartments.com, show numerous units around the city that meet that criteria, though the bulk of them are in the higher end of the price range. Each time you reduce the maximum monthly cost, you reduce the number of available units that fit the bill by hundreds if not thousands.