As some in South San Francisco discuss the need for housing in our area, the issue of ... below market rate and called â
Fact Sheet: Affordable Housing As some in South San Francisco discuss the need for housing in our area, the issue of affordability is often part of the conversation. The median home price in South San Francisco now tops $904,000, well out of range for many. The need for more affordable housing is strong, and for us that means housing priced below market rate and called “affordable housing.” Affordable housing as a technical term describing housing units earmarked for households earning 120% of the area median income or less. Put in plain language, in San Mateo County that means a family of four earning up to $138,350 a year (or an individual that makes $96,850 or less annually) qualifies for affordable housing. All of these people would qualify for affordable housing in San Mateo County: Teachers in South San Francisco earn about $51,000 at entry level and up to $95,500 with more education and experience. Police officers earn $83,000 just starting out. Your neighborhood barista earns $26,000 working a full-time schedule 50 weeks a year. Production managers at local manufacturers earn about $75,000 a year.
When a new affordable housing unit is created, it is designated for a certain income level. There are typically four income levels for affordable housing: extremely low income; very low income; low income; and moderate income. These income levels represent a specific percentage of the area median income. The income level of an affordable housing unit is determined by either the City that approves it or the funding source (such as the State or Federal government) that subsidizes the unit. There are different income limits depending on family size, but below is an example of how this works for a family of four, and for a single person.
Additional facts continued on the back of this sheet.
Fact Sheet: Affordable Housing
Does a family earning $138,000 a year really need affordable housing? Yes! Market rate prices are too high for most average households. With the average home in South San Francisco costing $904,000, a family with a 20% down payment (or about $180,000 in cash) would have to earn $183,000 annually to afford that home. If that family could only come up with a 10% down payment, they would have to earn $226,000 annually to afford buying a home. The median monthly rent in South San Francisco is currently $3,550 and is expected to increase. The income required to afford the median rent today is $142,000 annually, well out of range for many renters. Will there be affordable housing at the former Redevelopment Agency (RDA) property on Mission Road, known as the PUC Site? Yes. Affordable housing at the PUC Site will provide much-needed affordable housing for working families in South San Francisco. All four developers being considered for the PUC Site will provide at least 20% of the units built as affordable housing for a range of income categories. The precise income categories served and the number of units offered at each income level will be determined once a developer is selected. Below is a table of estimated rents for very low, low, and moderate-income units.
How can I find out about affordable housing resources? The City of South San Francisco does not directly manage affordable housing or keep a waitlist of people interested in affordable housing here. However, there are many affordable housing resources on the City’s website. Please visit http://bit.ly/SSFHousingResources to find out about affordable housing providers in the area. The information provided above is intended to aid in the public discourse over potential residential developments in South San Francisco, not to advocate for one position over the other. Questions or comments may be directed via email to
[email protected]. Please visit the City website at www.ssf.net for information about upcoming public meetings, community events or other announcements.
