The results of the online/email poll represent responses from more than 200 cities. Of particular note is the ripple effect the housing crisis seems to be having on city finances. One out of three report that funding for programs and projects has declined in the past year.
Also significant is the increase in abandoned and/or vacant properties and other forms of blight, reported by one-third of the cities. "In one new community in Charlotte, NC, 115 out of 123 homes were boarded up," said McCollum. "Where there are widespread foreclosures, cities must ensure the safety of the residents still living in the community, must keep the grass mowed, and stop vandalism."
The NLC poll shows that the housing crisis is disproportionately impacting certain residents, with half reporting the crisis is affecting lower-income families; one-third seeing problems for families headed by single parents; and one in five seeing impacts on seniors and people of color.
"We know that homeownership strengthens our communities - but the housing crisis is making it more difficult to achieve this goal. Overall, financial stability of millions of Americans is in jeopardy," McCollum said.
The poll also shows that in more than half of the cities, the lending community has not reached out to local officials to offer help or support in dealing with foreclosures and housing finance-related impacts. The groups working most closely with cities are non-profit and civic organizations, followed by state governments and other local governments.
How have the following conditions changed in your community in the past year?
- Increase in foreclosures 62%
- Increase in need for temporary assistance, other than housing 53%
- Decrease in funding for other programs and projects 35%
- Decrease in city revenues and/or revenue estimates 33%
- Increase in abandoned/vacant properties/other forms of blight 33%
- Increase in cost/risk of bond and capital financing 26%
- Increase in predatory lending practices 23%
- Increase in homelessness/need for temporary/emergency housing 22%
- Increase in out-migration of residents 17%
Please list the three conditions that have impacted your community most severely.
- Declining funding for other programs and projects 62%
- Declining city revenues and/or revenue estimates 60%
- Increasing foreclosures 42%
In the past year, to the best of your knowledge, has it become more difficult for low-income families to become homeowners in your community?
62% Yes 24% No 14% Don't know
Is the housing finance crisis disproportionately impacting certain residents in your community?
51% Lower-income families and individuals
31% Single-parent/headed households
25% Seniors
21% People of color (African-American/Black, Hispanic/Latino, etc.)
9% Other
21% No
19% Don't know
What groups/organizations has your city been working with most closely in responding to this crisis?
59% Non-profit/civic organizations
35% State government
34% Other local governments
32% Banks/mortgage lenders
29% Churches
26% Neighborhood associations/groups
26% Federal government
18% Other private sector/business
7% Other
15% None
Has the lending community reached out to your city to offer help/support in dealing with foreclosures and housing finance-related impacts?
17% Yes 57% No 26% Don't know
