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Foreclosure Crisis In America Essay

1118 words - 4 pages

It is evident that the housing deficit is just a layer of the many problems we are suffering from during the hard times in our economy. Foreclosure is indeed a horrific word that is haunting homeowners across the US. Because of the situation in the current economy, millions of Americans have been plagued by foreclosing on their homes and are left to find new location for themselves and their families to live.
Recently in Detroit, with the efforts to negate the current standings, they provided housing aid. According to the housing statistic, the housing aid drew crowds in Detroit. “One in four working-age adults in Detroit are without a job and the city’s home foreclosure rate continues to be among the nation’s highest.” The article states that thousands lined up in order to get assistance with housing and utility payments. So many people showed up for the assistance application. Being that there were only intentions to pass out 5,000 applications, the Mayor released a statement asking people to stop coming. In the case of Detroit’s assistance, the applicants were going to receive monies from the “Coalition on Temporary Shelter (COTS), an agency that pays for transitional housing for the homeless.”
Another example of a region being affected by the shortage of housing and the excess of people losing their homes is New York City. In the article “Developers Need Community Support, Communities Need Affordable Housing,” it discusses the city’s residents versus the developers. There are numerous issues that are stalling the process of growth, namely the “neighborhood opposition.” However, this opposition in my mind is not a good cause. As, “the effects of new luxury development in their neighborhoods are rising rent, gentrification, and displacement.” The conflict of interest and rise of fear is valid as the New York natives are probably highly aware of the cycle of gentrification and displacement that plagues New York. The problem is there is inevitably a lack of housing, due to homelessness and influx of people. Without enough housing, the prices of the homes will be very expensive; however, if there is not a balanced mix of luxury and affordable housing, those already living there will be forced to leave because they will not be able to maintain taxes and other increases that will be tacked on to housing expenses. In order to make this process a bit more feasible, New York created the “Inclusionary Zoning program.” This program required “that developers set aside a certain percentage of units in a new development as affordable units.” The issue with this zoning ordinance is that although it was stated as a “requirement” the city kept it as a voluntary process.” With the ordinance being voluntary and developers with a capitalist mentality, many developers opted out of adhering to the ordinance. Although the residents of New York may not be in the power broker or decision-making classification, many of...

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