Carpinteria City Council reviews 2024 home sales and sets 2025 affordable housing fees

The Carpinteria City Council convened on July 14, 2025, to discuss key updates regarding affordable housing in the community, particularly focusing on the annual review of home sales and the setting of the in lieu affordable housing fee for 2025.

During the meeting, city officials presented the findings from the 2024 home sales data, which revealed that the median sale price for single-family homes in Carpinteria has risen, impacting the calculation of the in lieu fee. For 2025, the proposed in lieu fee for single-family dwellings is set at $973,500, a decrease of $35,100 from the previous year. Similarly, the fee for condominiums is proposed at $316,600, down by $5,900. These adjustments are attributed to stable median incomes and a slight drop in interest rates, which have influenced the pricing of affordable units.

The council emphasized that the in lieu fee serves as an alternative for developers who cannot meet the city’s requirement of including 12% affordable units in their projects. However, it was noted that no developers have opted to pay this fee to date, as the city prefers to see affordable units built on-site. The council is considering updates to the inclusionary housing ordinance, which may expand the affordable housing requirement to rental projects as well.

Public comments during the meeting highlighted concerns about the current housing market, with one resident noting an increase in open houses and predicting a shift towards a buyer's market. This sentiment reflects the ongoing challenges residents face in securing affordable housing amidst rising prices.

In conclusion, the council's decisions regarding the in lieu fees and potential updates to the inclusionary housing ordinance are crucial steps in addressing the community's housing needs. The council plans to revisit these topics later in the fiscal year, aiming to enhance the effectiveness of their affordable housing strategies.