As the city continues to face the aftermath of the financial crisis, some New Yorkers are wondering if the city can afford to keep its current rate of rent increases at or above inflation.
But as one Manhattan resident told CBS 2, the problem is that the city is paying for too much with too little.
“I’ve been in this building for 10 years, and my rent has been going up for 15 years,” the resident said.
“I just don’t know how we’re going to pay for that.”
The problem, according to the resident, is that a significant portion of the cost of the city’s housing stock is going to be subsidized by the Federal Housing Administration.
“The problem is not that the housing stock has been subsidized,” the mayor said.
“But that the federal government, the Housing Finance Agency, is subsidized.”
The city’s Housing Finance Department, which manages the citys rent, mortgage, and other government assistance programs, was the subject of a CBS 2 investigation last month that found that many landlords were not providing information on their property tax bills and that landlords were paying for many of the same services that the government provides.
The city said in a statement that it has a “strong commitment” to housing affordability and that it would work with the Housing Advisory Commission to help address the issue.
But it said the housing market has been affected by the financial collapse and that the number of units available has been falling.
“While the housing supply is improving, rents are going up.
And we can’t do much to help those struggling to afford it,” said City Council President Bernard C. “Jack” Young.”
It’s not going to change the fact that it’s been going down for so long.”
In the past, the mayor has promised to increase the number and quality of affordable housing.
But the mayor, who has faced intense pressure to address the problem in recent months, has been vague about when he might do so.
As the mayor faces growing pressure to act on affordable housing, some say it is not time to jump to conclusions.
“If you don’t have the right incentives, then it’s not the right time,” said Kristin Pizzella, a former senior policy advisor for the Housing and Urban Development Department.
“There’s going to have to be some kind of resolution, but I think we’ve had enough time to deal with this crisis.”
In a recent interview with CBS 2 , Young said he thinks the city should look at a number of different solutions.
He said he hopes that some of those solutions are affordable housing vouchers or rent control.
The housing czar also told CBS2 that he was concerned that landlords are not offering enough assistance to renters.
“We’re not making enough of an effort to get them out of their units,” Young said.