The Spatial Concentration of Subsidized Housing - Poverty & Race ...

Galster andZobel 1998Freeman andBotein 2002Nguyen 2005Studiesfrom1987-1997Studiesfrom1974-2001Studiesfrom1963-2001Each studyis differentEach studyis differentEach studycovers onecity orcountyEach study isdifferent,primarily sitebasedEach study isdifferent,primarily sitebasedEach study isdifferent,primarily sitebasedLITERATURE REVIEWSDispersion,property values,behavior changeProperty values,racial transition,povertyconcentration andcrimeProperty valuessurrounding thesubsidizedhousingTheoretical and meta-analysis ofexisting studies. Three types ofstudies are included: 1) casestudies of participants indispersion programs; 2)statistical studies on the impacton property values; and 3)statistical studies onneighborhoods and behavior.Literature review ofneighborhood effects ofsubsidized housing includingimpacts on 1) property values; 2)racial transition; 3) povertyconcentration and 4) crime.Discussion of methodologicalproblems in designing researchto answer these questions.Literature review on impacts toproperty values in areassurrounding subsidized housing.Early studies use matchedneighborhoods and later onesuse hedonic price regression tocontrol for factors other than thelocation of the subsidizedhousing.There will be benefits to the overall systemif people move out of high poverty areasinto the lowest poverty areas but there islittle empirical evidence in support ofhousing dispersal on neighborhood povertyor social behaviors.Studies using hedonic price models weremixed with slight negative, no impact orlarge positive impacts on property values.Studies of impacts of vouchers were mixedas to positive and negative impacts. Twostudies on the impact on racial change foundno impact or a small impact notcharacterized as "white flight". There areserious methodological problems withalmost all the studies so that findings are notreliable. Future studies should use propermethodologies and more studies are neededon vouchers.Four findings: 1) negative effects (if theywere found) were small; 2) design andmanagement are important factors; 3)negative impacts are more likely if clusteredin high poverty neighborhoods; and 4) therewere a limited number of methodologicallysound studies. Qualitative studies areneeded to understand property ownermotivation. Housing market factors shouldbe considered in quantitative studies.202