Understanding how some people become homeless

[Marathoner]

55 minutes ago, other one said:

When you go to get a loan for a house here, they will not give you a loan that has premiums more than 25% to 30% of your income.   This would go along the same lines.

That's industry-wide, now. The reason is simple: it prevents default from occurring. However, the "catch 22" should be apparent in that, despite that income rule being very helpful in maintaining solvency, it can be a barrier when insufficient income is the reality for some (like our dear sister has pointed out).

This is where rent control and housing subsidy come into the picture. Both make it possible for seniors and the disabled to sustain stable housing. I don't begrudge doing my part to make those subsidies possible but then again, I possess a different point of view than others. I personally know many who benefit from assistance, and they are not undeserving by any means. On the contrary, it's my honor to serve them like I do, and my joy is magnified because I get to do so in more than one way. 

[Who me]

It's just as bad across the pond here in London.

House prices are  upto 10 times an average salary and renting has the added problem of instability.

An entire block of flats ( apartments  ) was c.osed for renovation with all residents being thrown out!

An example of how business is responding https://www.sharetobuy.com/developments/4078/

Shared ownership, one pays rent on 75% of a property and has a mortgage on 25%.

 

[Debp]

10 hours ago, In the Clouds said:

I had a work friend who was very diligent about her living accommodations search.  She found more than one opportunity to rent part of a house from widows and divorced single females.  She had a clean, safe environment and a quiet house mate.  Those situations are not always available; but, she was patient and managed to find them.  That was in Texas.  

I can easily afford the rent for my own apartment in other States.   I'm currently paying $1315 a month here in Los Angeles.    (That's extremely low anymore here.)

Btw, when moving in here in 1974....it was $210 a month including electric and gas.

 

9 hours ago, Marathoner said:

That's industry-wide, now. The reason is simple: it prevents default from occurring. However, the "catch 22" should be apparent in that, despite that income rule being very helpful in maintaining solvency, it can be a barrier when insufficient income is the reality for some (like our dear sister has pointed out).

This is where rent control and housing subsidy come into the picture. Both make it possible for seniors and the disabled to sustain stable housing. I don't begrudge doing my part to make those subsidies possible but then again, I possess a different point of view than others. I personally know many who benefit from assistance, and they are not undeserving by any means. On the contrary, it's my honor to serve them like I do, and my joy is magnified because I get to do so in more than one way. 

Marathoner, you understand the situation.   It's the income requirement for getting an apartment that's the problem.   Often couples with both working will not be able to afford that three and a half times income, the requirement for renting.

Anyhow, currently I'm still staying here.   But luxury buildings keep going up all of the time around me after tearing old buildings down.

 

[In the Clouds]

Unfortunately the earth is not gaining more land mass to accommodate the growing population.  It is becoming more and more expensive to afford housing after disasters and mismanagement of resources.  If only there were more benevolent souls to care for those who have become victims or fallen to hard times.  There are many good programs of helps; but, the need is so great.  How does one prioritize who is most needy or which cause is most urgent?  A better way is to start with giving a hand up so that people do not remain victims.  It's like teaching a man to fish vs giving a man a fish.  Providing a meal is good.  Teaching survivalism is a necessity for sustainability.

[Neighbor]

On 12/30/2024 at 11:28 PM, missmuffet said:

Did some say GREED.

Hi, Not necessarily greed but need.  The costs to an owner gets very expensive. The margin on rentals is pretty slim and it is very capital intensive. The economy of scale has changed, tenants are less and less responsible and far more destructive.

Residential real estate is a real pain. I had mine for over thirty years. Oh so glad those days are over.

[Dennis1209]

On 12/30/2024 at 8:46 PM, Debp said:

I was looking at some apartment rentals on Zillow. (Not thinking of moving right now but possibly in the future, if needed.)

The out-of-State city I looked at...I was amazed how the apartments all wanted a person to have an income of three and a half times the monthly rent!!!

I can see where the above would cause some people to become homeless.

Not sure if all cities are requiring the above. Would need to check some other cities.

Hi Debp,

When I retired, that was a significant concern of mine. My retirement income halved from working, and I think they call that fixed income.

As we know, there are numerous reasons for becoming homeless, some self-afflicted, some not. I have always tried to live within my means and not an unaffordable lifestyle. I am happy and content with what our gracious Lord has provided me.

Many are eyeball deep in debt, with credit card purchases not paid off from Christmas past, living largely in dwellings they cannot afford. Then, unexpected tragedies pop up, such as unexpected medical bills, high inflation, ever-increasing property taxes, insurance, cost of living, etc., trying to keep up with the Joneses.

One day, they wake up with bill collectors hounding them, their home in foreclosure, their late-model cars being repossessed, and their credit ratings down the proverbial toilet bowl. What options and choices do they face besides moving in with family members and being a burden? Who will even rent to them?

I do not see why or how people live in parts of California, New York, and Illinois. I spent 42 years living in Illinois in a much less-than-middle-class house with a postage stamp lot (due to my job). When I retired from my job, I was paying $4,000.00 a year in personal property taxes alone. The taxes were staggering to own a vehicle, and auto insurance was crazy.

After diligent research on where I wanted to retire, I selected Henry County, Tennessee. Because of its cost, it was in the top 10 rated retirement areas in the nation at the time.

Instead of a postage stamp lot, I now have 6.25 acres, with annual property taxes of $500.00, but rising steadily. There are no state or city taxes, which helps tremendously. Sales taxes here are absorbent at 9.75%, but I control what I need to spend. I can also drive to Murray, Kentucky, where no food taxes exist.

I also appreciate that rural Tennessee is still a Red State compared to the big cities. There are plenty of places to rent here. Come on up; it would be a pleasure and privilege having you as a neighbor. If you are close enough, I’d be thrilled to drive you to church and get groceries.

I understand that leaving the familiar and trusting relationships developed. But sometimes you must do what you need to do.

Happy New Year!

[walla299]

On 12/31/2024 at 4:34 PM, Debp said:

I can easily afford the rent for my own apartment in other States.   I'm currently paying $1315 a month here in Los Angeles.    (That's extremely low anymore here.)

Btw, when moving in here in 1974....it was $210 a month including electric and gas.

Marathoner, you understand the situation.   It's the income requirement for getting an apartment that's the problem.   Often couples with both working will not be able to afford that three and a half times income, the requirement for renting.

Anyhow, currently I'm still staying here.   But luxury buildings keep going up all of the time around me after tearing old buildings down.

You may want to search for agencies/programs in the area you are thinking of moving to. There are programs that can help you avoid the ridiculous income requirements for those on a fixed income. You may want to start with some of the local agencies in your area who may information on who to contact in other states (its a possibility anyway.)

In my area it can take less than 5-10 days for a landlord to kick you out if you can't pay the rent . . . pretty user unfriendly. Just loose your job and miss a paycheck or two and you can be homeless. Then there are the other issues in the mix that marathoner mentioned.

[Debp]

13 hours ago, In the Clouds said:

A better way is to start with giving a hand up so that people do not remain victims.  It's like teaching a man to fish vs giving a man a fish.  Providing a meal is good.  Teaching survivalism is a necessity for sustainability.

The three and a half times the income requirement for renting is the problem.

For example, I saw plenty of apartments in that city for $900, $950.    But most people (including me) don't have an income of three and a half times that rental amount.    And that is the requirement for getting the apartment.

Of course, maybe they would consider retirement funds?

 

[Debp]

4 hours ago, Dennis1209 said:

Hi Debp,

When I retired, that was a significant concern of mine. My retirement income halved from working, and I think they call that fixed income.

As we know, there are numerous reasons for becoming homeless, some self-afflicted, some not. I have always tried to live within my means and not an unaffordable lifestyle. I am happy and content with what our gracious Lord has provided me.

Many are eyeball deep in debt, with credit card purchases not paid off from Christmas past, living largely in dwellings they cannot afford. Then, unexpected tragedies pop up, such as unexpected medical bills, high inflation, ever-increasing property taxes, insurance, cost of living, etc., trying to keep up with the Joneses.

One day, they wake up with bill collectors hounding them, their home in foreclosure, their late-model cars being repossessed, and their credit ratings down the proverbial toilet bowl. What options and choices do they face besides moving in with family members and being a burden? Who will even rent to them?

I do not see why or how people live in parts of California, New York, and Illinois. I spent 42 years living in Illinois in a much less-than-middle-class house with a postage stamp lot (due to my job). When I retired from my job, I was paying $4,000.00 a year in personal property taxes alone. The taxes were staggering to own a vehicle, and auto insurance was crazy.

After diligent research on where I wanted to retire, I selected Henry County, Tennessee. Because of its cost, it was in the top 10 rated retirement areas in the nation at the time.

Instead of a postage stamp lot, I now have 6.25 acres, with annual property taxes of $500.00, but rising steadily. There are no state or city taxes, which helps tremendously. Sales taxes here are absorbent at 9.75%, but I control what I need to spend. I can also drive to Murray, Kentucky, where no food taxes exist.

I also appreciate that rural Tennessee is still a Red State compared to the big cities. There are plenty of places to rent here. Come on up; it would be a pleasure and privilege having you as a neighbor. If you are close enough, I’d be thrilled to drive you to church and get groceries.

I understand that leaving the familiar and trusting relationships developed. But sometimes you must do what you need to do.

Happy New Year!

Thanks for the information and the invitation, too.    Just thinking a bit since I got the $52 a month rent increase... usually I just go day by day with God's help.    It was 4% this year.    Of course, each year the rent increase gets larger as the rent increases.  

I do have a cousin in Amish country Ohio but you need to drive which I don't do anymore.   Also, there was only one apartment in his town.   And the next town over where he has to drive to for the doctors and hospital is apparently crime ridden!!!    He is married and just a little younger than me, so I need to be independent.

 

4 hours ago, walla299 said:

You may want to search for agencies/programs in the area you are thinking of moving to. There are programs that can help you avoid the ridiculous income requirements for those on a fixed income. You may want to start with some of the local agencies in your area who may information on who to contact in other states (its a possibility anyway.)

In my area it can take less than 5-10 days for a landlord to kick you out if you can't pay the rent . . . pretty user unfriendly. Just loose your job and miss a paycheck or two and you can be homeless. Then there are the other issues in the mix that marathoner mentioned.

Our building evicts really fast, too.   And it's not that good of a management company either.

Los Angeles does have a Department of Aging but I think lower priced apartments for seniors have long waiting lists...like many years.    

Anyhow since my 94 year old mother just died in June, I don't want the stress of moving just now.   Just thinking about things because if they demolish my building, then I must make a change.

 

[Neighbor]

6 hours ago, Debp said:

The three and a half times the income requirement for renting is the problem.

For example, I saw plenty of apartments in that city for $900, $950.    But most people (including me) don't have an income of three and a half times that rental amount.    And that is the requirement for getting the apartment.

Of course, maybe they would consider retirement funds?

 

The problem is one simply cannot rent as a long term plan. Hard reality is owners of their residences get tax breaks that renters ( And landlords) do not. Unfair? Yes, but also reality. 

Everyone has to deal with reality with what is, not what what one wishes things were instead. Reality is a hard task master. So what has history to remind us? There was a time not so long ago that there were factory owned row houses,  there was and still is the time of hot sheets living- sharing  housing and beds three shifts a day.

Today nobody wants low income housing anywhere near them for low income housing also means crime. And so we end up with sidewalk living, ... and crime.

Inflation is the real enemy I suppose, and it is just going to get worse.

"And I heard a voice in the midst of the four living creatures saying, “A quart of wheat for a denarius, and three quarts of barley for a denarius; and do not harm the oil and the wine.”

All one can do is their own personal best even as inflation chews away, ever multiplying  exponentially.