UW Study says a boost in affordable housing would come from condo reform

runstad-real-estate

(From the Seattle King County REALTORS® post from July 28, 2016. (Read the article online here.)

The Runstad Center at the University of Washington has released its much-anticipated study of factors that impede the construction of affordable condominiums in the Puget Sound region. The study concludes that “insurance costs and the risk of litigation, if mitigated, can contribute toward the delivery of more affordable for-sale condominiums, for which there is clearly a very strong demand.”

The study, entitled Incentivizing Condominium Development in Washington State: A Market and Legal Analysis, states that the higher legal risks in condominium construction are a product of the Washington State Condominium Act. Peter Orser, Runstad Center director, said that if built in sufficient numbers and at less than high-rise densities, condos could provide an attractive option, “potentially affordable to the families earning the median household income.”

“Reform of the Condominium Act will foster more construction and ease the unprecedented inventory shortage we are facing in the greater Seattle Market,” said Patti Hill, President of the Seattle King County REALTORS®. “REALTORS® have sought this type of reform. We have also proposed a number of other actions, including realistic housing forecasts and greater density along transit corridors,  that will make it easier for families to purchase homes near job centers. We can do this without jeopardizing our single family neighborhoods, but we need action now.”

Read the report here.