80,000+ new affordable units needed for projected housing crisis in Palm Beach County

PALM BEACH COUNTY, Fla. — WPTV is working to find solutions for residents who tell us it's getting too expensive to live here.

"The prices were so high. It was crazy," Ava Lambert, who has been apartment shopping in Palm Beach County, said.

WATCH BELOW: Affordable housing needs expected to grow in next decade

She moved to West Palm Beach from New York during the pandemic.

"People are still making the same amount of money, so how are they going to afford rent?" Lambert asked.

She said she's turned to living with roommates to be able to afford the rent.

"I think it's like $8,000 for a three-bedroom apartment. That's like a New York City penthouse, maybe New York City two-bedroom," said Lambert. "(That price is) not in the budget."

Palm Beach County staff members on Tuesday presented the latest report on affordable housing to commissioners and found the need is expected to be even greater in the next decade.

The housing study found the county will need 80,785 new affordable housing units to meet the demand of the 205,195 people projected to move to the area in the next 10 years.

The numbers are for an average household of at least two and a half people factoring in employment, household income and 0-140% of the area median income (AMI), which in Palm Beach County is $140,000.

Staff members noted that the AMI may be skewed as it includes wealthy municipalities and enclaves in the calculation.

"Do we need to build our way out of this or do we need to also tap into existing inventory and make those affordable?" Palm Beach County Commissioner Marci Woodward asked.

Staff at the meeting said the answer is that both are the issue.

The county has a program that helps rehabilitate existing houses or units with a deed restriction to help with the crisis.

The staff members mentioned the problem is the cost to bring some houses up to code exceeds the $100,000 in assistance, which Woodward would like to see expanded.

Palm Beach County government

Assistant County Administrator Tammy Fields said in the last 30 years they've seen some previous projects have gone to market rate, so they've already started implementing longer deed restrictions to 50 years to maintain the housing for longer periods.

The housing study also found that income growth has not kept up with the rise of housing prices in the last 10 years:

• Median sale price of a single-family home reached $615,000 in 2024
• Median rents have surged post-COVID, jumping 40% between 2020-2022

Staff members said to afford the HUD Fair Market Rent for a two-bedroom apartment, a tenant needs an income of $42.81/hour or $89,040 annually.
The study broke down the top 10 industries by employment growth, and their annual median wage based on 2023 numbers.

"I want to know, how we can fix the problem?" County Commissioner Maria Sachs asked.

Sachs has been an advocate for mini cottages to help with homelessness and said it's time to evaluate affordable and workforce housing.

She directed staff to evaluate how much each of the county's 39 municipalities are contributing to helping with the housing crisis.

"This a community project," Sachs said. "We gotta work together on it."

In a meeting earlier this month, staff members said there are 27 housing and economic development projects underway that will bring 2,187 new units to the area.

Staff members are expected to return to commissioners on Feb. 11 with recommendations from Tuesday's workshop.

The county has a housing dashboard available online with a list of affordable housing.

Matt Sczesny is determined every day to help you find solutions in Florida's coverage collapse. If you have a question or comment on homeowners insurance, you can reach out to him any time.

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