Industry News Briefs from Florida, Massachusetts, Pennsylvania

Florida
Affordable housing programs in Palm Beach County have failed during the last decade, according to both builders and county officials.

The county has two affordable housing incentive programs, one lets a developer build more units if affordable housing is included; the other exempts development from traffic standards if it includes affordable housing. Neither program is widely used, according to a spokesperson from Centex Homes, because the incentives are not enough to make affordable housing cost effective.

High impact fees and extensive waits for permits are two barriers to affordable housing in the county, where in the past five years, incomes have increased by 19% while used home prices have increased 80%.

Source: The Palm Beach Post, March 14, 2004

Massachusetts
The state's Realtors association is pushing a bill that would prohibit the use of a consumer's numerical credit score as a factor in determining homeowner's and renter's insurance rates.

After being introduced last summer, the bill, S.B. 2093, received its first hearing this month. During testimony in support of the bill, officials from the Massachusetts Association of Realtors said that continued use of credit scores to set premium rates could create a new barrier to affordable housing for first-time and low-income homebuyers.

Source: Inman News, March 9, 2004 

Pennsylvania
On March 15, President Bush traveled to an affordable housing development in suburban Philadelphia to hype the benefits of homeownership. The campaign stop with Sen. Arlen Specter (R-PA) marks his 26th visit to the state during his term.

Bush spent 10 minutes at the home of Pearl Cerdan, a new home owner in an affordable housing development west of Philadelphia before visiting a YMCA to discuss homeownership.

The administration has been pushing initiatives to close racial homeownership gaps, and his visit to Pennsylvania showed that housing will be a key issue in the 2004 presidential race. Bush lost the state in 2000 to Al Gore, 50.6% to 46.4%.

Source: Associated Press, March 15, 2004
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