Oregon is grappling with a significant housing crisis, as highlighted in a recent government meeting. The state has seen a drastic decline in housing starts, with the number of building permits issued falling sharply since the 1970s. In 2005, more than 30,000 permits were issued, but this figure has not been reached since, with only 6,868 permits issued in 2010.
Several factors contribute to this shortfall, including restrictive housing laws, a national shortage of builders, rising material costs, stagnant incomes, and high property taxes. This lack of affordable housing has created barriers for individuals across all income levels, with Oregon ranking among the states with the lowest supply of rental housing accessible to those living at or below the poverty line.
Despite efforts to remove restrictive housing laws since 2017, the state has not seen a significant increase in housing starts. The numbers remain concerning, with only 17,700 housing starts recorded in 2003 and an estimated 14,000 projected for the first half of 2024 if current trends continue.
In response to the ongoing crisis, state legislation aims to preempt local governments' ability to regulate housing, seeking to streamline the construction process and increase the housing supply. This legislative push represents a bold attempt to address the pressing need for more housing in Oregon, as officials continue to explore various strategies to combat the crisis.