Housing costs emerge as key to Montana's labor shortage

[Eugene]

Source: Associated Press

Housing costs emerge as key to Montana’s labor shortage

By IRIS SAMUELS
July 21, 2021

HELENA, Mont. (AP) — Montana’s economy has largely healed from the effects of the coronavirus pandemic but is facing a labor shortage fueled partly by a lack of affordable housing, economists said Wednesday.

A commission tasked with distributing part of the $900 million in federal coronavirus relief that Montana received has named affordable housing as one of four categories it will consider for funding proposals. The others are business innovation, value-added agriculture and workforce development. The commission will meet again in three weeks to discuss proposals from the public.

With housing values increasing by well over 20% in the past year in parts of the state, some workers are saying they can’t take low-paying jobs even with recent wage hikes, said Mike Foster, director of the state’s program for distributing coronavirus relief funds.

While Republican Gov. Greg Gianforte’s office is open to funding affordable housing, Foster said it’s “a tricky challenge because we want to be respectful of the free market.”

-snip-

Read more: https://apnews.com/article/business-health-government-and-politics-coronavirus-pandemic-montana-e91ebc4b3166f496ac183d9380d4c2e6

[rzemanfl]

1. Like he is respectful of journalists? n/t

[cilla4progress]

2. Of course,

the free market...free to be homeless...

SMDH

[msongs]

3. the free market is not repectful of anyone, but it does lover suckers nt

[keithbvadu2]

4. So they want socialist money to help low wage free market?

So they want socialist money to help low wage free market?

[Warpy]

5. The free market says "build McManions." The profit margin is higher on those things

.It's time for the government to step in to this mess, make it worthwhile to build affordable housing instead of ugly white elephants that go out of style within 5 years and fall apart in 10.

America needs a raise, also, a big one. It's time to admit that controlling inflation by stiffing people on their wages has not worked.

[at140]

6. Not that easy, people will only buy what they want

Look at the cars on road. I see bigger cars not smaller cars. Why does anyone need to drive gas guzzling Mercedes or Cadillac? I drive a Chevy Spark, giving me 40 MPG in city driving. But I do not see many Spark's on the road.

[Warpy]

7. Depends on where you look

Cars in congested cities tend to be little ones, they're easier to maneuver around and easier to park.

Other cities, designed around the car, have people thinking bigger means safer. In some cases, they might be right, but the car companies really push the bigger cars.

The same goes for houses, realtors push the "most house you can afford, you'll grow into it." We used to have real estate shows on Sunday morning and seeing McMansions largely furnished with resin lawn furniture and mattresses on the floor were not uncommon.

Car dealerships, builders, and real estate people want to maximize the profit and a lot of people don't know how (or why) to say no.

[at140]

8. You are so right...people just can't say no!

Bigger houses = bigger heating and A/C bills, bigger property taxes for ever!
Bigger cars = bigger and faster depreciation and more fuel expenses.

I still remember the housing crash well. People kept borrowing more mortgage loans as the values went up.