Incentive-Based Inclusionary Housing Policies engage the private sector more in the production of affordable housing.  By adopting an incentive-based inclusionary housing program, private sector developers would set aside a certain percentage of their market rate developments (typically between 10 - 25 percent) for more moderately priced housing units.  The program is usually applicable for developments over a minimum threshold size (i.e., between 1 and 50 units).  Some of the incentives discussed at the forum included:  

Some programs permit developers to pay fees into an affordable housing program to achieve incentives.  Incentive-based inclusionary housing policies work best in communities experiencing increases in housing prices.

In Charlotte, incentive-based inclusionary housing policies could increase the range of housing opportunities available throughout the community.  It could help reduce concentrations of lower income housing, promote economic and school diversity and create a more inclusive environment.

The primary targets in our community for all these recommendations are households that earned 60 percent or less of the area median income ($38,640 for a family of four).  This represents in excess of 115,000 households in the Charlotte area.  These affordable housing households include teachers, policemen, firemen, medical technicians, daycare workers and many others who contribute to keeping our local economic engine running.