Low-Income Homeownership Policy as a Community Development Strategy

Summary

Homeownership for the poor increasingly is on the political agenda in the United States. This is due largely to the assumptions made by policy makers and citizens about the benefits of homeownership. Despite this emphasis in recent administrations, little theoretical literature has been developed that specifies the impact of homeownership on community development. This essay reviews relevant theoretical and empirical literature and suggests that homeownership affects communities through the promotion of increased wealth accumulation, improved property upkeep, decreased residential mobility, and increased community participation. This article addresses the special needs of poor communities and households, and the implications for low-income housing policy. Overall it is suggested that community economic development and low-income homeownership be pursued in tandem.