Wages not keeping pace with rent
Renters in Butler County often struggle to afford a place to live because the cost of a basic two-bedroom apartment is far higher than the average wages earned by renters.
According to a 2013 study by the National Low Income Housing Coalition, the average rent for a two-bedroom home is $772 per month in the county.
Meanwhile, researchers found the average hourly wage of renters is $10.88 per hour.
Assuming renters spend no more than 30 percent of their gross income on housing — the maximum acceptable figure according to the study — the average renter making $10.88 an hour would have to work 56 hours per week to afford a two-bedroom apartment. That is 16 hours more than the standard 40-hour workweek.
Renters would need to make $14.88 per hour to afford that $772 monthly rent on a 40-hour workweek.
“There’s no question there’s a need for more affordable housing in the county,” said Perry O’Malley, the director of the county housing authority.
The hope of renting a fair market value home seems nearly impossible for lower income families because it would take two full-time minimum wage jobs to afford the rent, according to the study.
As a result of the imbalance between rent and income, many county renters are paying more than 30 percent of their income for their housing.
According to the U.S. Census, nearly 50 percent of county renters paid more than the recommended maximum in the study from 2007 through 2011.
“If you’re paying more than 35 percent of your income on housing, you’re suffering on the other things you need in life,” O’Malley said.
But the biggest issue is not the rent, which is determined by the housing market, but rather poverty in general, according to O’Malley.
“If you don’t have the income, it doesn’t matter where you live,” he said. “The issue comes down to what we need to do for the less fortunate.”
Catholic Charities is an agency dedicated to helping people in need, including renters struggling with their bills.
Al Lane, the charity’s director, said it works with renters and landlords to attempt to find affordable housing for people.
“I think the problem is more (about) low income than it is the cost of housing,” Lane said. “Not to say housing isn’t an issue, but people just don’t have enough money.”
With that in mind, Lane said the group focuses on increasing incomes more than directly dealing with rent prices.
“We want to prepare people to meet the cost of rent,” he said. “That’s where we have the most success.”
But finding affordable housing still is a key part of the process, Lane said, which can be difficult.
“A lot of cheaper places in the county are not the nicest,” he said. “But then if they get remodeled, the price goes up. So we’ve got a catch-22 there.”
About 21 percent of the more than 15,000 rental units in the county cost less than $500 per month, according to the census. There are the same number of units costing more than $1,000 per month in the county.
Lane also said the need to live near the city is a struggle to overcome. More than 20 percent of county renters live in Butler, while Cranberry and Butler townships combine for another 20 percent of the market.
“Most of these people don’t have transportation,” Lane said of the people his charity works with. “So they need to live in Butler so they can be close to different services. But there’s not enough options available.”
Lane said the charity does have a rental assistance program, but only as a last resort.
“We can kick in a small amount to help pay rent and work with landlords and individuals to resolve any problems,” he said. “But that’s worst case management.”
He said the charity is able to help about 10 of the 50 requests it receives every week.
“It’s a pretty daunting task to take on,” he said. “We work more to remove barriers to find long-term housing rather than supply a Band-Aid solution.”
Finding those long-term solutions remains the biggest challenge.
“I wish I knew the answer to it,” Lane said. “The problem is, there is no simple answer.”
