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

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DEMOGRAPHIC ANALYSIS housing, but many could also afford shallow -subsidy or older market rate rentals. If housing costs absorb 30% of income, households with incomes of $15,000 to $24,999 could afford to pay $375 to $625 per month. • In most geographic areas, household median incomes peak in the 45 to 54 age group and that group is usually considered to be in their peak earning years. In 2019, the median household income in Ramsey was highest in the 45 to 54 age group at $105,140. The 35 to 44 age group has a median income of $104,125 in 2019. By 2024, the median income for the 35 to 44 and the 45 to 54 age groups are projected to increase to $110,700 (6.3%) and $113,183 (7.6%) respectively. The 55 to 64 age group is projected to increase from $96,087 to $106,757 (11.1%) by 2024. • The median estimated home value in Ramsey was roughly $310,000 in 2019. The income required to afford a home at this price would be about $88,571 to $103,333 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 53% of non -senior households in Ramsey have incomes of $88,571 or more in 2019. • Non -senior incomes are expected to increase by 9% from $97,775 to $106,309 between 2019 and 2024 in Ramsey. This equates to an increase of 1.7% annually. Senior Households • The oldest householders have lower incomes in 2019. In Ramsey, 3.4% of households ages 65 to 74 had incomes below $15,000, compared to 6.6% of households ages 75 and over. Many of these low-income older senior households rely solely on social security benefits. Typically, younger seniors have higher incomes due to the fact they are still able to work or are married couples with two pensions or higher social security benefits. The 2019 median income for Ramsey householders decline significantly for those ages 65 to 74 and 75+ at $79,049 and $43,351, respectively. • Generally, senior households with incomes greater than $25,000 will be able to afford mar- ket rate senior housing in Ramsey. Based on a 40% allocation of income for housing, this translates to monthly rents of at least $833. About 1,416 senior households in Ramsey (85% of senior households) have incomes above $25,000 in 2019. • The median income for seniors age 65+ in Ramsey is $70,130 in 2019. It is projected to in- crease by $6,318 (9%) to $76,448 by 2024. MAXFIELD RESEARCH AND CONSULTING 14