Fort Collins' Housing Opportunity Index (HOI) compared to western states region HOI
- Analysis of Performance
- Metric Definition
- Why Is This Important?
- City Organization Impact on Performance
- Benchmark Information
Analysis of Performance
Housing opportunity is based on the percentage of all new and existing homes sold in the last quarter which were affordable to families earning the area median income. Fort Collins’ HOI has improved this quarter’s to 72% of our region, above the 66% or better target. While prices continue to escalate, the reported median income for 2015 is $5,800 higher than 2014 which translates into more buying power.
The Housing Opportunity Index (HOI) is defined as the share of homes sold in an area that would have been affordable to a family earning the local median income. The target is to be in the top third (66% or better) for the Western region of the United States.
Why Is This Important?
This metric measures how the community's housing affordability changes over time based on income and housing cost. Data draws from the private housing market and interest rates, and is an indication of how well the market is responding to families earning the area median income.
City Organization Impact on Performance
Low - The City does not directly affect the private housing market or residents' income levels. Through grants provided by the Competitive Process, the City often incentivizes a limited number of new housing units for lower-income residents, which would be included in the number of housing units reported through the HOI data. This metric reports market activity more than City activity.
This metric contains regional benchmark data because the target for this metric is defined as being in the top 66% regionally for HOI. Comparing Fort Collins' HOI to the regional HOI allows a separate analysis of internal and external trends, which places the City's performance in context. There are only 6 reporting areas in Colorado, which is not enough for a good comparison. This data is published quarterly, although published for the preceding quarter.