Competitive housing market leads to increased need of low-income housing support

Earlier this month we reported on an increase of student poverty rates in the town of Rotterdam over the last two decades.

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Now, along with increased poverty rates, the town has seen increased need for low-income housing.

Anthony Gucciardo, President of Gucciardo Real Estate Group says over the last decade or so increases in school taxes and rising real estate prices have forced people out of living in certain areas of the Capital District.

“So, areas like Rotterdam that are more affordable are seeing more people flocking there because it is more affordable,” said Gucciardo. “But what happens is when more people are doing that such as buyers it drives the prices up and increases demand."

Since January 2021, there have been 460 homes sold in Rotterdam, and roughly 140 homes with pending sales.

Real estate agents say in 2021 the average price of a single-family home in Rotterdam costs $200,000, but with multiple buyers looking, those prices tend to rise.

“The prices in rentals have also driven up because a lot of people don't know what they're doing, and they also don't want to buy in such an extreme sellers' market," Gucciardo adds.

With an increased demand for rentals and more luxury apartments popping up, are forcing more people to consider subsidized housing or section 8; COVID-19 only exacerbated the need.

"As we're winding down from the pandemic, people are starting to go back to work,” he said. “But some companies have not been able to hire because they have not recovered from the effects of the pandemic."

Town officials in Rotterdam were not available for an interview Friday but sent CBS6 the following statement saying:

“The 2020 census revealed that the lower middle-class population is growing in Rotterdam, which will contribute to an increase in low-income housing needs. The town is a municipal sponsor of HUD’s Housing Choice Voucher program, commonly referred to as Section 8, which subsidizes safe, affordable housing for low-income households. Currently, the town is sponsoring over 200 vouchers. In light of this, the town encourages local developers and existing housing projects to provide affordable housing options to the Rotterdam community.” - Rotterdam Town Officials

"I'm not seeing a ton off affordable housing, but we are starting to see some;” added Gucciardo. “Because the contractors are doing is we obviously need workers in the area, and they need to be able to afford to live here."

CBS6 reached out the New York State Division of Housing and Community Renewal, they were not available for comment but sent the statement below.

“In the last decade, New York State Homes and Community Renewal has invested nearly $500 million in the Capital Region to create or preserve 5,400 affordable homes, more than 700 of which are in Schenectady County and include developments such as Renaissance Square, Hillside Crossing, Northside Village, 13 State Street Apartments, the Boys and Girls Clubs of Schenectady, Hillside View Apartments and more."- HCR Commissioner RuthAnne Visnauskas