6 Numbers About Affordable Housing That Will Make You Go HMMM.... By Adriana Johnson

6 Numbers About Affordable Housing That Will Make You Go HMMM.... By Adriana Johnson

Newly exposed truths behind the problems plaguing Denver’s Affordable Housing programs have raised some major concerns about a program that was intended to be a saving grace. Affordable Housing has now become a nightmare due to ambiguity regarding strict income, future sales, and rental guidelines for prospective eligible Buyers.

Long story short, the city created an affordable housing program in the early 2000s. The Inclusionary Housing Ordinance required builders to designate 10% of the condos or houses they built as “affordable”.

Most of these 1,569 homes were built in Green Valley Ranch, Lowry and Stapleton, but each city council district has at least a few.

The people who bought these houses could only sell to other approved buyers for prices set by the city until the affordability restrictions ended, according to the IHO rules.

But that didn’t happen in potentially hundreds of cases.

About 1 out of 4 houses have problems, according to data from Denver’s Office of Economic Development.

A handful of the problems are “easy” fixes, but most involve unknowing homeowners and renters who could be forced to leave or sell their homes by the end of 2018!

The biggest “AH-HA” that I took from my research of the issue for months now, is that the funding is there. There are over a dozen “Affordable Housing” projects in the works ranging from Aurora, Denver, Globeville, and a number of other greater Denver areas. There are many large funding contributors who have committed to different projects. There is often backlash when it comes to the location of these developments, as the public isn’t too fond of the stigmatized association to the “affordable housing” demographic. Have a kind heart, and an open mind people.


Get informed by reading my blog! If you are currently the owner of an affordable housing unit, and fear that you’re not in compliance with state law, you can potentially lose your home. Please contact us today for assistance.

If you’re wanting to know how to apply for the Affordable Housing projects coming soon, contact us for a free consultation to see if you qualify!


6 Affordable Housing Numbers That Will Make You Go… HMMMM:

1. 305 HOMES

That’s home many houses/condos Denver suspects of having problems.

2.  74%

While the city says ¾ of its affordable housing inventory is “problem free”, the number of homes that were properly sold is much smaller.

According to 9 News, out of 639 income based housing in Green Valley Ranch:

“50 homes (26%) of the Green Valley Ranch houses in the program followed the IHO rules for buying and selling.”

Screen Shot 2018-05-22 at 2.03.46 PM.png

3. 81 POTENTIAL RULE BREAKERS

A lot of the focus has been on homeowners who say no one told them their house was supposed to come with affordability restrictions.

But the city has a list of 81 homes belonging to qualified buyers that could have unsuspecting renters living in them.

When families buy one of Denver’s affordable homes, they promise to live in the house and not rent it out. These 81 units get their tax document sent to a different address, which could be proof that the owner lives somewhere else.

4. 71 PERCENT

The 639 affordable homes built in Green Valley Ranch make up 41 percent of Denver’s income-restricted inventory, but they have 71 percent of the suspected improper sales.

The city thinks 143 of the 202 houses that might have changed hands without the proper approval are in Green Valley Ranch.

5.  7 PEOPLE

That’s how many people Denver says it now has monitoring the affordable housing program.

“In January, if you asked me how many people are in our compliance unit, that number was one … ,” Hiraga said. “In addition, we are now doing outreach on future projects coming up.”

6. MAY 31

That’s the last day for people who own one of these problem houses to sign up for the city’s compliance resolution program.

It gives people until the end of the year to work out a solution to their specific problem with the city. However, homeowners and at least one lawyer who represents them are wary of the city’s olive branch.

First compliance resolution verification meant either proving they could income qualify or sell their home to someone who did for a price set by the city.

Yikes! This is why having trusted, knowledgeable realtors advocating for you is vital! We at RHLG are experts of the affordable housing regulations and rules that must be understood when deciding to move forward with these purchases. The difference in buying a regular home with down payment assistance etc. verses Affordable Housing is that Affordable Housing you cannot sell the home for “market value”. The home has to be sold for the cost that affordable housing decides on. Then, it must be sold within the program. So if you’re wanting a traditional investment, this isn’t a good way to make a return. You cannot rent these homes either, must be owner occupied. 

The catastrophic increases we have experienced in regards to cost of living in Denver, have created unimaginable economic strains within the last 5 years, more than quadrupling our homeless population.

At RH Luxe Group, we are all Colorado natives, who are huge community supporters and activists within our community. We have recently positioned ourselves within a very community organization (announcement coming soon) that supports shelter deferral, keeps families together through prevention and rehousing. Be well informed, understand the very real issues that our State is up against, and help us in our fight to do what we can to support those in need.

Watch the full video below!

Adriana Johnson