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Housing Finance Agency reports urgent need for rural housing in North Dakota

March 20, 2025 | Appropriations - Government Operations Division, House of Representatives, Legislative, North Dakota


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Housing Finance Agency reports urgent need for rural housing in North Dakota
The North Dakota House Appropriations Committee convened on March 20, 2025, to address pressing housing challenges facing rural communities. A significant focus of the meeting was the urgent need for affordable housing to support local economies and attract new residents.

Committee members highlighted the critical role of housing in economic development, with Representative Fisher emphasizing the importance of strategic placement of homes to meet community needs. He noted that many small towns are experiencing growth, yet face challenges in providing adequate housing options. This sentiment was echoed by Lisa Rothvold, Executive Director of the Red River Community Housing Development Organization, who presented data indicating a projected need for 4,800 additional housing units by 2030 due to job growth and demographic changes.

Rothvold's testimony underscored the stagnation in rural housing markets, citing that some counties have averaged only a few building permits per year over the last two decades. In contrast, larger cities like Grand Forks have seen a much higher rate of development. She advocated for the Housing Incentive Fund (HIF), which has been instrumental in supporting new single-family home construction in rural areas. In its first year, the HIF facilitated the building of four homes in two small towns, demonstrating its potential to stimulate local housing markets.

The committee also discussed the broader implications of housing shortages, with local employers like Marvin Windows and American Crystal expressing concerns about their ability to attract and retain workers due to a lack of available housing. This highlights the interconnectedness of housing availability and economic vitality in North Dakota's rural communities.

As the meeting concluded, the committee members recognized the need for continued collaboration and innovative solutions to address housing shortages. The discussions set the stage for future initiatives aimed at enhancing housing development, ensuring that North Dakota's rural areas can thrive in the face of evolving economic demands.

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