AFFORDABLE HOUSING
Breaking Down The Process For a More Fluid Conversation
TYPES OF HOUSING IN TRUCKEE
There is no “one-size-fits-all” solution to housing in our town, but there are a variety of housing options available:
Rooms for rent
Daily rate motels/hotels/hostels
Seasonal campgrounds
Single-family homes, cabins, tiny homes
Multi-family homes
Duplex/Multiplex
Apartments/Condos/Townhomes
Weekly/monthly rate motels/hotels
Designated employee workforce housing
Assisted Living
Prefabricated/ Modular Homes
Mobile Homes/ RVs
Short-Term Rentals (STR)
Second Homes/ Vacation Homes
Ideally, affordable housing should be achievable for residents to transition out of temporary housing solutions like motels/hotels, campgrounds, hostels, and short-term rentals, and into long-term rental properties with the opportunity to purchase their own homes within town limits.
CURRENT HOUSING STOCK
According to the Mountain Home Council’s Short-Term Rental White Paper released in 2019.
There are 13,368 units in Truckee. This figure excludes hotels and hotel condos.
3,743 units (28%) are full time residences.
2,677 units (20%) are long-term rentals.
6,951 units (52%) are second homes/vacations homes.
Of the stock of second homes/vacation homes, 1,720 (12%) are Short-Term Rentals (STR).
The argument against Short-Term Rentals in our town is better suited when discussing the impact of tourism upon Truckee, but when we’re discussing housing stock, we should be looking at the 40% of units that are sitting vacant as vacation and second home dwellings.
COST OF LODGING
A quick Google search today shows some figures of what you can expect to pay for lodging in this town.
A room for rent averages $700 per month.
A studio apartment in the new Coburn Crossing “affordable housing” apartments is $1,400 per month.
A 3-bedroom/2-bathroom home rents for an average of $3,000 per month. In 2013, this was $1,500/month.
The 2018 Census states the median cost is $1,600 from 2014-2018.The average median price of a 3-bedroom/2-bathroom home in Truckee is $540,000. In 2013, this was $439,950. The 2018 Census states the median value of owner-occupied units is $541,00 from 2014-2018.
INCOME DISPARITY ACROSS REPORTING SOURCES
When we talk about affordable housing, we also need to identify who needs access to these homes and that means looking at the residents who live here. These figures were defined by the Truckee Donner Chamber of Commerce in a 2012 report “Truckee Demographic & Economic Profile”.
Truckee’s population in 2011 was 16,021 residents. The US Census estimates Truckee’s 2019 population was 16,735.
In 2010, the per capita income for residents was $31,000. Per capita income is the mean income computed for every man, woman and child in a particular group including those living in group quarters, and is derived by dividing the aggregate income of a particular group by the total population in that group. In 2018, the U.S. Census determined the Per Capita income from 2014-2018 was $46,258.
In 2010, the median household income was $65,000. This includes the income of the householder and all other individuals 15 years old and over in the household, whether they are related to the householder or not. Because many households consist of only one person, average household income is usually less than average family income. In 2018, the U.S. Census determined the Median Household Income was $93,808.
In 2012, according to the report, 36.3% of Truckee’s workforce earned a high wage (more than $3,333/month), 29.1% earned a moderate wage ($1,251 to $3,333/month) and 34% earned a low wage (up to $1,250/month).
Also in that report, 52% of the workforce left Truckee to commute to Reno or Sacramento and surrounding areas. 35.8% of those who left Truckee went to earn a high wage. Of the 52% that left Truckee for work, 92% were replaced by employees from outside the region, commuting into Truckee for work. Those commuting into Truckee accounted for 38.2% of low wage jobs, and 33.4% of moderate wage jobs. The remaining 48% of the workforce remained in Truckee; 33.9% of the workforce worked in low wage jobs, and 30.4% worked in moderate wage jobs.
AREA MEDIAN INCOME & POLICY CREATION
Now that we’ve unpacked some of the figures, we should look at how our government is classifying what income ranges are eligible to meet the affordable housing requirements.
The California Department of Housing and Development determines the 2020 Area Median Income (AMI) for Nevada County as $64,700 for a single person household. This means the average person in Nevada County is making $31 an hour. This is the figure the Truckee Town Council is using to determine who can access affordable housing.
Affordable housing projects in Truckee are designed for residents who make up to 80% of the AMI for Nevada County, or $51,760 ($24.88/hour) for a single person household.
Town Council is approving housing developments that include 15% of the project for affordable housing, for incomes below the AMI. Here are the current developments and future developments in Truckee that offer affordable housing.
Sperling's Best Places states the average Truckee resident earns $37,117 ($17.84/hour) in 2019. BestPlaces also states the cost of living index is 154.9, or 5% higher than the California average and 54.9% higher than the national average. The cost of living related to housing is 268.1, or 29% higher than the California average, and 168.1% higher than the national average.
BUILDING A NEW SINGLE-FAMILY HOME IN TRUCKEE
If you want to build a new single-family home in Truckee, here are some of the costs.
Current ½ acre lots in Truckee range from $60,000 to $300,000 depending on location.
The Town estimates the cost of a 1,500 Living SF, 350 SF Garage and & 190 SF Deck is $250,000
Town of Truckee Permit Fee Estimate for a 1,500 SF home, 350 SF Garage & 190 SF Deck is $14,055.89
Additionally, you must pay the District Mitigation Fees for the school district, fire district, and parks district.
Parks & Rec District Fee is $1.99/SF – for a 1,500 Living SF Home it costs $2,985
School District Fee is $3.69/SF – for a 1,500 Living SF Home it costs $5,535
Fire District Fee is $0.83/SF – for a 1,500 Living SF Home & 500 Garage, it costs $1,660
Additional fees may be assessed by Southwest Gas, Truckee PUD, Liberty Utilities, Truckee Sanitary District, and Nevada County Department of Health – Septic Systems.
SOLUTIONS EXPLORED BY TOWN COUNCIL
The Town Council has explored a number of ideas related to housing.
Deed restricted housing – this states that properties can only be sold to local residents, but does not restrict cost of the home. As a reminder, the median home price provided by the Town Council is $540,000; BestPlaces values the median home price at $619,000.
Accessory Dwelling Units (ADU) – these are self-contained units on existing lots which can be rented out to new tenants or used as additional housing for family members. ADUs have a living area, kitchen or kitchenette, full bathroom, and separate entrance from the main home.
Transitioning Short-Term Rentals to Long-Term Rentals – the Town subsidizes owners who are interested in transitioning these units to Long-Term Rentals. As a reminder, there are roughly 1,700 short-term rentals in Truckee.
Working with organizations, like Landing Locals, to pair homeowners with local employees to secure housing.
The Town has approved and developed a number of current affordable housing projects.
Requiring new developments to include at least 15% of the project for affordable housing.
3 future developments to provide more affordable housing options.
