Agenda - Council - 08/27/2019 - Laserfiche WebLink

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EXECUTIVE SUMMARY Employment Analysis • Ramsey and Anoka County had an unemployment rate of 2.6% and 2.8% respectively in 2018. By comparison, the State of Minnesota's unemployment rate was 2.9% in 2018 while the U.S.'s unemployment rate was 3.9%. • According to Employer -Household Dynamics data from the U.S. Census Bureau there are roughly 6,403 workers in Ramsey in 2015, 17% live in Ramsey. Most other workers are commuting from Minneapolis (12.9%), Anoka (8.2%) and Coon Rapids (8.1%). Ramsey is considered an exporter of works as over 90% of the residents in Ramsey commute else- where for work. Housing Characteristics • Per the City of Ramsey Building Department there were approximately 1,700 units permit- ted from 2008 to May 2019. In 2009 (the peak of the recession), Ramsey observed the few- est building permits issued at 42, but has averaged building permits for 208 units per year since 2012. • Nearly one-half of Ramsey's renter -occupied housing were constructed in the 2000s or later (49%), while 23% of Ramsey's owner -occupied housing stock was built in the 1990s. • Approximately 81% of Ramsey homeowners have a mortgage compared to 74% of Anoka County and 72% of the metro area in 2017. About 17.6% of homeowners with mortgages also have a second mortgage, home equity loan, or both. • The median estimated home value in Ramsey was roughly $259,594 in 2018. The income required to afford a home at this price would be about $74,170 to $86,531 based on the standard of 3.0 to 3.5 times the median income (and assuming these households do not have a high level of debt). About 68% of non -senior households in Ramsey have incomes of $74,170 or more in 2019. • The median contract rent in Ramsey was $1,219 in 2017. Based on a 30% allocation of in- come to housing, a household would need an income of about $48,760 to afford the me- dian contract rent in Ramsey. Rental Housing Market Analysis • In total, Maxfield Research inventoried 547 general occupancy rental units in Ramsey spread across 6 multifamily developments. At the time of the survey, there were 16 vacant units resulting in an overall vacancy rate of 2.9%. Typically, a healthy rental market main- tains a vacancy rate of roughly 5%, which promotes competitive rates, ensures adequate consumer choice, and allows for unit turnover. MAXFIELD RESEARCH AND CONSULTING 2