The coronavirus pandemic is making the US housing crisis even worse
Ninety-five percent of Americans have been ordered to stay at home to reduce the spread of the coronavirus.
Even as almost all Americans are told to remain at home, millions are now unemployed and must scramble to figure out how to pay for that home. The irony is that the one thing Americans are told to do is preventing many of them from doing the one thing they need to do.
The pandemic is exacerbating the affordable housing crisis that plagues cities throughout the U.S. and contributes to rising inequality, housing insecurity and homelessness.
Two crises collide
According to CNN, one-third of Americans did not pay rent this month.
Many are now getting eviction notices, while others are organizing payment plans with their landlords. Even those tenants who successfully negotiate postponing their payments will eventually have to pay back what they owe.
However, these pieces of legislation only really offer partial and temporary solutions, and others, like undocumented immigrants, many who have lived and worked in the U.S. for years are ineligible to receive aid.
The housing crisis
Housing prices have skyrocketed in many cities in the country. In some of the most expensive cities in the U.S., like New York and Washington, D.C., this has meant that median sales prices have increased over 50% from 2009 to 2019.
These price increases have made it increasingly difficult for even middle-class families to rent or purchase homes in many areas in the U.S.
Nationally, one in four Americans now spend more than half of their monthly income on rent. Another 6 million are considered cost-burdened, meaning that they pay over 30% of their income on rent.
Those hardest hit
Among those gentrifying communities are two that I study, the Globeville and Elyria-Swansea neighborhoods in northwest Denver, Colorado.
Traditionally marginalized and located in the industrialized areas of the city, these neighborhoods are home to approximately 12,000 residents, and almost 87% identify as Hispanic or Latino. The majority of residents earn less than $25,000 a year, with many working in the service and health industries and in construction.
Denver's fast-growing housing market and urban redevelopment are making it increasingly hard for these residents to remain in the neighborhood. Many have already been forcibly displaced.
Now, the pandemic has caused many in Globeville and Elyria-Swansea to lose their jobs, and Globeville is currently one of the neighborhoods with the highest cases of COVID-19 infections in Denver. Without employment and unable to pay rent or mortgage payments, an already cost-burdened community may finally succumb to their struggle against gentrification.
For communities like Globeville and Elyria-Swansea, displacement usually means being forced to move to areas and homes that are often unhealthier, poorer quality and far away from city resources and community networks and support. Children are often forced to go to other schools, and parents must commute longer distances to jobs and services.
The effects of the housing crisis are not reserved to just poor communities, but rather all city residents. Displacement and gentrification lead to greater inequality, greater social and economic insecurity and can undermine social cohesion, to name only a few.
For those already struggling to stay in their homes, the coronavirus is a dramatic blow to an already difficult situation. Even for those families who have received some temporary relief for April and May, it is hard to imagine how families that already pay between 30% and 50% of their salary on rent will be able to pay off any debts when relief programs expire.
I fear that many of these Americans will end up on the streets, in motel rooms or isolated in neighborhoods with poor-quality housing, far away from community, schools, jobs and other services and resources.
Provided by The Conversation