Building the American Dream

Authors:

Anna Ponting, Anisha Vachani
 

Description

This working paper analyzes the challenges of achieving first-time homeownership for middle-income residents (80% to 120% of AMI) in Boston, Massachusetts. It identifies a critical housing gap exacerbated by population growth outpacing supply and low homeownership rates compared to peer cities, arguing that homeownership is a vital mechanism for wealth creation and social stability. The research explores demand and supply dynamics, analyzes development cost drivers, and investigates innovative design and construction solutions-such as the "white box" approach-to radically reduce housing costs. The paper concludes with recommendations for the Boston Housing Innovation Lab to shape the city's homeownership strategy and prioritize cost reduction drivers to enable middle-class homeownership.