Affordable housing in New York: how to apply for an apartment and what are the chances of success

In 2012, the NYC Housing Connect website was launched. Since then, it has become easier for New Yorkers to submit an online application for an affordable apartment in one of the five districts of the city. About how to do this, as well as pitfalls, the publication writes Curbed.

Although applying for an affordable apartment is easy, getting the apartment itself is not so easy. As housing rental prices in New York skyrocket, as well as the demand for cheap housing, more and more people are turning to the small number of affordable apartments the city offers. For example, as part of the redevelopment of Domino Sugar redevelopment, a total of 104 apartments received 87 thousand applications.

Perhaps the chances of getting the coveted housing are not so high, but if you have a need for it, then you should at least try it. In this material you will find all the information on how to apply and what to do next.

Who is responsible for affordable housing in New York

Developers receive incentives such as tax incentives from the city and state to create affordable apartments through Affordable New York programs. Meanwhile, the initiative of the mayor of Bill de Blasio “Mandatory Inclusive Housing” (Mandatory Inclusionary Housing initiative) requires developers to create permanently affordable housing in new residential complexes.

As soon as the developer prepares to lease the building, he begins to work with the Department for the Conservation and Development of Housing or with the Housing Development Corporation to allocate affordable housing units.

What is considered affordable housing

Here, things get a little more complicated. The monthly rent for an “affordable” apartment in New York depends on what is called “area median income” (AMI).

The median income for all cities in the country is determined annually by the US Department of Housing and Urban Development (HUD). In 2019, the AMI for New York is $ 96 for a family of three (100% AMI). If this figure seems high, then this is because it is: the median family income in New York in 100, according to HUD, is $ 2019.

Why is AMI so high? The fact is that the federal government does not use only New York data in calculating AMI, the source said. Following a complex history of methodological changes, this calculation now includes income data for three other counties outside the city: Rockland, Putnam and Westchester.

On the subject: Immigrant guide: how to rent affordable housing in New York

When developers add affordable housing to their new buildings, they reserve a number of apartments that they build for those who make up a certain percentage of the AMI. For example, low-income housing can be allocated to households up to 60% of the AMI, while middle-income housing can be rated for households up to 100% of the AMI, and so on.

This can lead to a rather large imbalance between the cost of housing and what New Yorkers can really afford, especially in areas where the average income is significantly different from AMI.

To complicate matters even further, apartments are allocated to households that make up a certain percentage of the AMI, rather than to individuals. Moreover, the requirements for obtaining apartments vary depending on the number of people in the household. HPD and HDC determine the minimum and maximum amounts that a household can allocate to qualify for certain apartments, and these numbers are usually indicated on each application.

HPD has created a handy diagram that shows the minimum annual income for different households in different income ranges, which may be useful for the application process.

How to apply for affordable housing

This is the easiest part. Start by creating a profile on NYC Housing Connect. All you have to do is enter a few key details: your name, family income, type of employment, and so on. Your income is one of the most important parts of the application, as it determines your right to an apartment; HPD has a handy guide to pinpoint how to calculate it. After that, your data will be saved in a system ready for use at any time when you want to apply for housing.

Lists appear on the NYC Housing Connect website fairly regularly, so the best way to make sure you haven't missed a single site is to check the site every week, or even every few days. Applications usually remain open for a couple of months.

HPD recently launched a search function for current housing opportunities that will tell you where you can get affordable housing. You simply enter your household size and total income — a figure that includes wages, freelance income, and other sources such as child support or SSI benefits.

How to improve your chances of winning

Residents of various public councils in New York receive preferential status for affordable apartments in their area. So finding housing in your area may be a good idea. Preference is also given to candidates with hearing impairment, musculoskeletal or vision problems, as well as those who work in the city.

In some cases, developers may delay several apartments for other reasons. For example, in the first affordable housing lottery, Essex Crossing allocated several apartments for former residents of the Seward Park Extension Urban Renewal Area.

What happens after applying

After applying, you need to wait. According to HPD, it can take anywhere from two to ten months to process applications and select potential tenants. If you are lucky and you are elected, they will ask you to come for an interview. You will need to take a bunch of documents with you, including a copy of your current lease, proof that you paid the rent, birth certificates for all family members, as well as other documents.

New recommendations do not allow developers to use components such as bad credit history or student loan debts against applicants, and survivors of domestic violence are even more protected from such checks.

The city now also allows applicants to provide a 12-month pay-as-you-go home rental history instead of the host conducting a credit check or providing their own. This means that applicants are not required to provide a social security number or an individual tax identification number to each adult family member, which also allows immigrants from New York to apply.

So, if you have been chosen, then the next step will be an even longer waiting period. The final decision on whether or not to give you housing is made by the developer along with the city. If you are lucky - you will certainly find out about it. As soon as you sign a lease, you can immediately move into a new apartment.

What do critics think

Critics say the “affordable” definition does not necessarily create housing that is truly affordable. What is within reach of someone in a prosperous area like the Upper West Side may not be available to someone in Crown Heights.

Studies have also shown that the current lottery of affordable housing in the vast majority of cases favors young, single residents, since developers do not create a sufficient number of apartments suitable for both families and people with children.

Controversy is also caused by the fact that developers separate subsidized tenants from those who pay the market price. For example, when building affordable housing in separate buildings or asking owners of affordable housing to enter through separate entrances.

In conclusion, the following can be said: the distribution of affordable housing in New York is definitely not without problems, and the efforts you made to obtain it may pay off, or may not pay off. But if you are armed with information (and all the necessary documents), then you should try your luck.