Austin, Texas, December 7th, 2023 — Today the Austin City Council passed significant housing reform measures to address the city’s housing emergency with the approval of the first phase of HOME, or Home Options for Middle-Income Empowerment.
This initiative passed with an impressive 9-2 vote, an acknowledgment by a supermajority of Council district leaders of the great challenges posed by Austin’s housing shortage and rising median home prices that are far beyond the means of average Austinites. The approval of HOME Phase 1 grants ordinary homeowners more options and promotes smaller, single-family homes for potential homebuyers.
Key Highlights of HOME Phase 1 Approval:
- Up to 3 Units Allowed: Homeowners are now allowed to have up to three homes on their property, granting more flexibility to house family members, caregivers, or to generate passive income to stay in place.
- Tiny Homes: Easier installation of tiny homes will be possible, one of the most accessible and affordable ways to add a home on a lot.
- Preservation & Sustainability Bonus: Incentives to preserve the distinctive character of our neighborhoods and minimize materials going into the landfill are now available across the city.
- House Size Limits: Size constraints that new homes under the program meet the goals of the initiative for smaller, more attainable housing.
The City Council's resounding support for HOME Phase 1 underscores our shared commitment to addressing the housing crisis comprehensively and innovatively. This initiative reflects the city's dedication to creating opportunities for residents to live, thrive, and contribute to the vibrancy of our community.
Council Member Leslie Pool brought forward the resolution on July 20 with Council Member Chito Vela, Council Member Zo Qadri, Mayor Pro Tem Paige Ellis, and Mayor Kirk Watson. Three more Council Members joined as co-sponsors at that vote: Council Member Ryan Alter, Council Member José Velásquez, and Council Member Natasha Harper-Madison. This measure also passed with a 9-2 supermajority.
“The status quo of limited housing options is not sustainable in this current environment,” CM Pool said. “We can do so much better for teachers, first responders, small business employees, construction employees, government workers, and nurses – people who have good jobs but can’t afford to invest in our city.”
"Today, the worst thing we can do for Black and brown families in Austin is nothing,“ CM Vela stressed. “Displacement is happening because our existing code bans the types of housing that middle-income families can afford. When the price of land is high in a growing city, we have to allow people to build their homes on less land."
“I was proud to join as a co-sponsor of Council Member Pool’s resolution in July that initiated HOME, and I’m excited to see the first phase come to fruition today,” said CM Ryan Alter. This proven, commonsense reform will help address our desperate need for housing that is more affordable and more environmentally friendly in all areas of Austin. I want to thank CM Pool for her leadership and for working with my office to add additional protections for our tree canopy. This will ensure HOME is a win for both affordability and sustainability.”
“HOME will create a more walkable, bikeable city by giving people flexibility with the property they already own,” Mayor Pro Tem Ellis noted. “If we want to limit sprawl and congestion, we need our land use planning to allow complete communities where more families are able to build a life close to where they live, work, and play.”
CM Qadri said, “I was pleased to offer the preservation incentive amendments that were included in the final vote. The preservation and sustainability bonuses strengthen the HOME Initiative. Preserving existing structures furthers the City’s affordability, cultural preservation, and climate goals by diverting construction debris from the landfill.”
“It is important to understand the historical context of restrictive single-family zoning,” CM Harper-Madison observed. “Our land development code has been used to close doors and limit opportunities for our low- and middle-income communities and the current status quo will continue to negatively impact housing affordability. The HOME initiative will provide the power of choice to homeowners and buyers.”
“We’re committed to addressing Austin’s housing emergency after years of being mired in debate and litigation,” said Mayor Kirk Watson. “The ordinance we passed today reflects much of the extensive feedback we’ve received from our community and includes additional provisions to preserve existing homes and neighborhoods. These changes are essential to ensuring that Austin can move into the future as the open, vibrant, and inviting community we’ve all strived to create here.”
HOME Endorsements
HOME is widely supported individually and collectively by a wide spectrum of community and professional organizations, from labor unions, advocates for older adults, transit and housing advocates, and small business groups. The initiative has garnered national notice, as well, reflecting broader, documented housing concerns well beyond Austin's city limits. The following is the list to date:
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Next Steps
Next steps for the HOME Initiative include the Phase 2 consideration of smaller lot sizes to promote smaller, missing middle housing choices and starter homes within the city, and will be taken up in 2024.
At the Council’s December 14 meeting, members from the East Austin District Council Offices are bringing an initiative to explore more tools to ensure community members have access to the HOME program. Council Member Harper-Madison, Council Member Fuentes, Council Member Velasquez, and Council Member Vela are working to add to the benefits of HOME with down payment assistance options for low- and middle-income homeowners, an outreach campaign to neighborhoods on access to capital and resources, and an updated plan for infrastructure in areas potentially impacted by increased housing.
To provide more information about HOME, the Office of Council Member Leslie Pool launched the HOME Website with the latest news on the initiative.