In March of 2024, Senators Fetterman (D-PA) and Lummis (R-WY) introduced the Whole-Home Repairs Act of 2024 to establish a nationwide pilot program to assist eligible homeowners and rental property owners with critical home repair needs. Building on the momentum of a statewide home repair program launched in Pennsylvania last year, this new legislation, if passed, would be an important step in addressing the problem of housing deterioration.
It is also a sign of the growing movement to support low-income homeowners and potential homebuyers, especially Black and Latino households, by reducing the costs of operating and maintaining their homes while improving their physical conditions. In fact, the deterioration and loss of America’s housing continues to pose a significant threat to the health, safety, security, and financial well-being of millions of low-income residents, despite the tremendous advances in building codes for new home construction, housing inspections of severely inadequate homes, and local (albeit small) pools of financial and charitable aid.
With support from the Robert Wood Johnson Foundation, a new working paper that we co-wrote with Alan Mallach, Todd Swanstrom, and Austin Harrison surveys the evidence of inadequate housing conditions and the current landscape of public- and civil-sector home repair assistance programs. We hosted a series of virtual workshops in May 2024 with federal, state, and local government officials and civil-sector home repair stakeholders to gather further insights on practical challenges and recent innovations. Our findings coalesce around five key themes:
1. Many homes in the US fail to meet basic safety and suitability standards.
At last measure in 2021, 6.7 million households lived in moderately or severely inadequate housing with multiple physical deficiencies. Substandard housing conditions range from hazards such as large holes in floors or roofs and peeling lead-based paint, to persistent water leaks and mold, failures of heating and cooling systems, and pest infestations. The extent of these problems varies geographically and by housing type, but these deficiencies disproportionately impact renters, as well as households with lower incomes and households of color, exacerbating existing inequalities (Figure 1).
Figure 1: Lower-Income Households and Households of Color are Disproportionately Exposed to Substandard Housing
Notes: Asian, Black, and white householders are non-Hispanic. Hispanic householders may be of any race. Housing inadequacy refers to a variety of structural deficiencies, such as large holes and leaks or the absence of basic features such as plumbing, electricity, water, or heat. HUD classifies units as moderately or severely inadequate depending on the type and number of these physical problems.
Source: JCHS tabulations of HUD, 2021 American Housing Survey.
Existing measures of housing quality fall short of capturing the full range of physical deficiencies in the housing stock. While most homes meet basic habitability standards, millions require investment to address health and safety hazards. The need is even greater when considering the higher standards we want to achieve for our homes’ energy performance, accessibility, and disaster resilience. Taken together, the repair needs of the US housing stock are diverse and complex, and far beyond the means of many households to remediate on their own.
2. Housing deterioration harms individuals and neighborhoods.
Substandard housing is linked to a range of negative health outcomes including lead poisoning, asthma, physical injuries, and poor mental health. Homes with mold and poor ventilation contribute to respiratory illnesses, while exposure to lead paint can cause severe cognitive and physical health issues, especially in children. The expense of remediating these problems also causes financial strain and housing instability for households with limited means, while the inability to invest in repairs and improvements limits households’ ability to accumulate wealth in the form of home equity. The costs of deterioration fall disproportionately on low-income households and people of color.
At the neighborhood level, housing deterioration depreciates the value of surrounding properties and contributes to a negative feedback loop of depopulation and neighborhood decline. In neighborhoods shaped by segregation and structural disinvestment, substandard housing amplifies existing racial disparities in health and wealth and often leads to further public and private disinvestment.
3. The ecosystem of home repair programs and providers is diverse, but they are uniformly under-resourced.
There is a complex ecosystem of home repair programs that varies considerably across the US. Public programs at the state and local level are funded by a range of federal agencies in addition to local government coffers. Major federal programs like the US Department of Housing and Urban Development’s Community Development Block Grant and HOME Investment Partnerships Program along with the US Department of Energy’s Weatherization Assistance Program are the largest federal sources of funding for home repairs, while national civil sector organizations including Rebuilding Together, Habitat for Humanity, the Green and Healthy Homes Initiative, and SBP have been at the forefront of charitable home repair service assistance for decades (Figure 2).
Figure 2: The Ecosystem of Home Repair Programs is Diverse but Fragmented
Persistent funding and capacity challenges contribute to the fragmented landscape. Programs vary widely in the populations served and the repairs undertaken, often targeting a specific need or deficiency, such as habitability, energy performance, accessibility, or disaster damage. Income is the primary basis for eligibility across programs, although geography and demographic characteristics such as age, disability, veteran status, or housing tenure may also be considered. The fragmented and variable nature of these programs contributes to service limitations and gaps in coverage for households that might otherwise be eligible for assistance.
4. Home repair programs produce positive social returns.
Although the magnitude of the effect varies, home repair interventions produce positive outcomes for individuals and communities. Specific interventions, such as lead hazard control, offer substantial health and financial benefits. For example, replacing lead-contaminated windows can significantly reduce lead exposure in children, improving their health and cognitive development. Weatherization programs not only reduce energy consumption but also improve indoor air quality and overall comfort. Studies of households receiving home repair assistance indicate significant improvements in physical and mental health, ease of access and use of the home, and homeowner satisfaction.
Broader evaluations of home repair programs also yield positive outcomes at the neighborhood level. Home repair interventions at the city block level reduce negative spillover effects including lower rates of crime and abandonment. More rigorous research is needed to identify as well as quantify the full range of benefits, including those that are not easily monetizable.
5. Underfunding limits the scale, reach, and impact of home repair programs.
Current programs face significant operational challenges. Insufficient funding limits the scale and depth of assistance that programs can offer, leading programs to focus on narrow segments of the population. Even with these concessions, existing programs reach only a fraction of eligible households. A municipal home repair program in Little Rock, Arkansas, for example, provides 50 home repair loans annually although there are 8,000 income-eligible homeowners and an additional 18,000 renters in the jurisdiction. Underfunding also disincentivizes collaboration. Programs are often siloed and lack resources to integrate with larger housing or community development strategies. Improving coordination between programs and building local capacity can eliminate barriers and increase program effectiveness and reach.
Lessons from Home Repair Providers Underscore the Need for Greater Investment
In workshop discussions, home repair providers in the public and civil sectors alike underscored the urgent need for a coordinated and well-funded approach to home repairs. In the face of statutory and budgetary limitations, workshop participants highlighted efforts to broaden their effectiveness and reach. Local government implementers reported piloting common applications for municipal assistance programs to alleviate administrative burdens and reduce barriers for applicants. New procedures also aim to improve coordination between city departments, layer services, and create shared referral lists for households who cannot be served by a single program. Recent efforts to combine public funding from various sources are allowing for more substantial and comprehensive repair interventions to address multiple deficiencies within a home.
The repair needs of the US housing stock are extensive and far surpass the means of the households, as well as the current resources available. Addressing housing deterioration is not only a matter of improving individual homes but also a crucial step towards ensuring community health, stability, and equity. A greater investment is needed to ensure that all households have a safe, suitable, and decent place to live.