Agenda - Parks and Recreation Commission - 04/10/2014

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City of Ramsey 2030 Comprehensive Plan Appendix A: Community Background oversupply of homes, thus making detached product more affordable, and because of the large number of persons in the age groups between 35 and 64, which are the prime years for owning a single-family home when families often have school -aged children at home. Data from the early part of the 2000s suggests a vastly different picture for the current decade in which the number of townhomes, apartments, and other multifamily units may exceed the number of detached single-family homes built. Figure 3-10 - Decade Unit Was Built by Unit Type No. of Housing Units 140,000 - 120,000 - 100,000 - 80,000 - 60,000 - 40,000 - 20,000 - 0 Decade Unit was Built by Unit Type 16 -County Twin Cities Region 1960-2006 137,137 107,142 67,556 65,003 1 1960s 81,611 1970s 91,004 1 1980s 126,451 35,140 85,243 88,881 1990s 2000-2006 ■ Single -Family Units ■ Non -Single -Family Units Sources: US Census of Po pulation and Ho using: 2000; M etropo litan Council; Bo nestroo Income Growth and House Prices by Decade One of the biggest impacts on the rate and type of new development is the relationship between income and home prices. If the cost of housing takes a larger and larger percentage of a family' s income, the result is often the delay of purchasing new housing or the willingness to purchase a smaller home with less surrounding land. Figure 3-11 shows that the relationship between income and home prices can change from decade to decade. In 1960, for example, the median home price was approximately 2.4 times the median family income. By 1970, this ratio dropped below two. Not surprisingly, this helped contribute to a period of construction in which detached single-family homes outpaced multifamily homes. In 1980, the ratio climbed to above three. This ushered in a period in which construction of multifamily homes outpaced detached single- family homes. By 1990, the ratio dropped to just over two. Thus, throughout the 1990s, the number of detached single-family homes constructed far outnumbered the number of multifamily homes constructed. By 2000, that ratio climbed slightly higher but then accelerated rapidly during the early 2000s and reached a ratio well above three by 2005. The early 2000s was marked by a period of remarkable home construction in which the number of multifamily homes City of Ramsey 2030 Comprehensive Plan Appendix A-16