Starter homes : middle income housing in Boston

Abstract

This thesis assesses the residential real estate development industry in Greater Boston and makes policy recommendations to increase the supply of middle-income housing. Boston's rapid growth in the decade since the Great Recession has caused a housing shortage for middle-income families who cannot afford luxury housing nor qualify for subsidized units. This analysis addresses the problem with a broad study of the real estate market using public reports, market data, and professional interviews. It concludes that opportunities for middle-income housing can be expanded by adding supply to the larger market, reducing development costs to build housing in naturally affordable areas, and utilizing funds for income restricted housing. This thesis makes thirteen specific recommendations in six categories, including land use and zoning, design, construction, transportation, finance, and taxes. These recommendations can be implemented together or individually to mitigate high housing costs for middle-income families in eastern Massachusetts.