Does having a small or tiny house make it easier to have your home stolen?

A couple reported that their Madisonville, Texas vacation home had disappeared:

Jo and Lonnie Harrison told Eyewitness News someone stole their entire home off their property in Madisonville, Texas. They bought the 10-acre property with a prefab home on site last year.

It’s a one-bedroom, one-bathroom home with a green roof and wood siding…

“Nothing. Nothing that I wanted to see. I didn’t see the house,” said Harrison. “All I saw were blocks and pipes sticking out. The whole house gone. Everything except the blocks.”…

“I said, ‘You know this is really going to sound strange, but I need to report a stolen house.’ They were like, ‘A house?’ I said yes. We have 10 acres and had a little cabin and the cabin is gone,” said Jo Harrison. “Give us a call. Call the Madisonville Sheriff’s Department and let them know what you see. We really would like to have our house back.”

One of the features of these smaller homes is that they can be easily moved. Load it onto a truck or tow it away (since some of the homes have wheels) and you can move your home from here to there. Depending on your family and friends as well as your tastes, you could keep a vacation home moving every once in a while and still feel like you have a home to return to.

But, those same features may just make it easier for someone else to take that home. What is the equivalent of a strong bike lock for a small house or tiny house? Embed a GPS tracker somewhere hidden? Mount a security camera high up in a tree nearby? The flip-side of the mobility – and I have not seen any figures on how often the typical tiny house owner would actually move – could be less security.

And one other thought about security: larger homes tend to provide spaces where an occupant can hide if someone is outside or trying to break in. Smaller homes may not offer the same possibilities for staying out of view or escaping out of an alternative exit. So, when will we see the tiny house with a panic room or with significant features for the security conscious?

Side note: this is not typically a problem with larger homes – though if the home was secluded enough and the owners away for long enough, something could happen there too. Perhaps the larger size would attract too much attention from someone nearby or on local roads.

CA city to test universal basic income…with $500 a month?

Stockton, California is about to embark on a social experiment providing a universal basic income:

Stockton is one of many Bay Area cities on the fringe of the wealth accumulating in Silicon Valley and San Francisco. The Central Valley city went bankrupt in 2012, and for decades it has been trying to diversify its agriculture-based economy…

Tubbs is coordinating an effort to test a new way to sustain residents: universal basic income, or UBI. For one year, several dozen Stockton families will get $500 a month, no strings attached.

Dorian Warren co-chairs the Economic Security Project, which is contributing $1 million to the initiative. He said the goal is to gather data on the economic and social impacts of giving people a basic income.

In addition to tracking what residents do with the money, Warren said they will be monitoring how a basic income affects things like self-esteem and identity.

While the commentary I’ve seen so far on this story focuses on the long-term viability of universal basic income, I would raise another issue: how much of a test can $500 a month provide? That is not a big sum at all. Stockton is a relatively average place to live regarding costs and quality of life – see here and here. How far can $500 stretch, particularly for those that have a family and/or do not have a decent full-time job? That amount would not pay for an average rent or it could take some work to get food and essentials for a family for a month.

One of the larger questions that will need to be answered about universal basic income involves the amount of money provided. At least in the experiments I have seen thus far, the money is not necessarily meant to be the primary source of income. Yet, isn’t this supposed to provide a floor of income so that everyone can survive? If it is a smaller amount like $500 a month, it is one income source among several that an individual or family would need to put together. I would guess that many would say an extra $500 a month would be helpful but would it make enough of a meaningful difference for the people who need it most?

Locating a supersized home for the young and wealthy

A recent report from Luxury Portfolio International suggests some young wealthy Americans want giant houses:

About 40% of wealthy younger buyers — those aged 25 to 49 — told real estate broker Luxury Portfolio International they hope to own a house larger than 10,000 square feet, long considered the upper range for McMansions, in a survey published this week. Nearly a quarter — 23% — said they want a home 20,000 square feet or larger.

If you didn’t think people bought houses that big, you’re kind of right. The average U.S. home size was about 2,400 square feet in 2016, according to government data. The survey’s respondents, who were an average of 37 years old with assets of $1 million or more, want a house about eight times that size.

Need help picturing that? Think four times the size of Kendall Jenner’s $8.55 million Los Angeles spread or about the size of Taylor Swift’s Rhode Island estate and DJ Khaled’s Florida mansion — combined.

And the size of their desired home differs quite a bit from what older Americans with wealth want:

ElbowRoomBloombergGraphic

As the first article above notes, these are not just large homes: they are supersized homes. Beyond following some celebrity model or some cultural image of what constitutes a significant home, I wonder if this is also affected by where these different generations want to live. To have such a large home, an owner probably needs a sizable property in a more suburban setting. In contrast, those 50+ and wealthy may prefer smaller places but in urban centers. Those city homes or condos or penthouses may not be much cheaper or any cheaper but they certainly are connected to a different kind of life compared to the suburban estate.

Amazon jobs vs. no jobs in American cities and suburbs

With Amazon expanding in many locations across the United States, are these the kinds of jobs communities should seek? Here is the conclusion of one recent discussion of the issue:

It’s true that cities desperate for jobs may find it difficult to attract companies if they pass minimum-wage mandates or other labor laws. But the alternative, it seems, is jobs that don’t create a middle-class lifestyle for residents, which in turn affects local spending, the housing market, the tax base, and leads to a poor standard of living. Many cities, San Bernardino included, are calculating that any job creation is good news. They may soon find that with Amazon, that calculation does not apply.

This is not a new issue although Amazon might be the most visible manifestation of concerns right at the moment. Walmart has and still does face such questions. Fast food and retail jobs as larger categories attract this scrutiny at points.

For two reasons, I do not see most American communities during down these jobs, even if they are not ideal or even good positions of employment.

  1. Every politician from the local to federal level wants to promote job creation. It is still hard to have a deeper conversation about the kinds of jobs being created. What tends to matter are the numbers. If you are the politician who can claim adding jobs (and very rarely is this the result of one person or a short process), you have a powerful political weapon.
  2. What is the alternative to not accepting these jobs? Companies might move right over the border. This happened in Chicago when they insisted on certain with Walmart. The company responded by opening locations right over the border and the jobs and revenues went to other communities. If a community turns down jobs, will they be able to attract others? Until we have either regional cooperation where sets of communities set these conditions or states pass overarching regulations (or a third option of universal basic income?), individual communities will be forced to make tough decisions: promoting less than ideal jobs or possibly having no jobs.

This issue will continue whether with Amazon or other companies.

Jesus had a favorite suburb

The forward written by pastor Leith Anderson in The Suburban Church: Practical Advice for Authentic Ministry starts this way:

Bethany was Jesus’ favorite suburb. He often commuted the 1.8 miles into the city of Jerusalem where much of his ministry took place. Bethany was home to three of his best friends – Mary, Martha, and Lazarus. Jesus ate there, slept there, and performed his top miracle in Bethany when he brought Lazarus out of the grave alive. (ix)

This is possibly both incredibly anachronistic – cities outside of Jerusalem in the first century AD did not look like or function like the American suburbs of today – and clever – trying to connect Biblical themes to the places where many American Christians now live. Is this the sort of claim only evangelicals would make?

Getting established suburbs to build denser housing

A new study suggests higher levels of housing density in older suburbs could provide a lot of affordable housing:

But according to a report released today by urban housing economist Issi Romem of Buildzoom, many urban cores are actually developing and densifying. And lots of housing continues to get built at the suburban periphery. Romem argues that America’s real housing problem—and a big part of the solution to it—lie in closer-in single-family-home neighborhoods that were built up during the great suburban boom of the last century, and that have seen little or no new housing construction since they were initially developed…

The reality is that most of the housing stock and most of the land area of America’s metros is made up of relatively low-density suburban homes. And a great deal of it is essentially choked off from any future growth, locked in by outmoded and exclusionary land-use regulations. The end result is that most growth today takes place through sprawl…

But if America’s dormant suburbs are a big part of its housing and growth problem, they can also be part of the solution. Relaxing zoning rules in these neighborhoods would spread population growth more equitably and sustainably across a metro, relieving the pressure of rising housing prices and gentrification around the urban core, and unsustainable growth at the periphery.

“The dormant suburban sea is so vast that if the taboo on densification there were broken,” Romem writes, “even modest gradual redevelopment—tearing down one single-family home at a time and replacing it with a duplex or a small apartment building—could grow the housing stock immensely.” Many of these suburbs are located relatively close to job centers or along major transit lines. They are the natural place to increase density.

While this may be true, I tried to think of the incentives for suburbs in between cities and the growing metropolitan edges to do this. Here is my quick pro/con list:

Pros:

  1. Population growth is often associated with progress or a higher status. More housing means more people.
  2. New residents could help provide a new energy, particularly if they are higher-income residents who can contribute monies to the community.

Cons:

  1. Changing the existing character of a suburb, particularly for denser housing, is often met with opposition by existing residents.
  2. New residents mean new demands for local services.
  3. Denser housing might mean cheaper housing and this means attracting fewer higher-income residents.
  4. Why should we build denser housing if other communities around us are not doing the same?

Based on my quick lists, I do not think too many individual established suburbs will be jumping on this bandwagon. Even higher-income suburbs that would build higher-end dense housing would face opposition from residents who prefer the exclusivity of single-family homes.

The main thing that could break this logjam would be pressure from above – think the federal or state government – or groups of suburbs making decisions together to build denser housing. Still, these efforts will have to overcome those who will want local governments to stay their own course.

Proposing rent control for Chicago and Illinois

Political efforts will put the idea of rent control in front of some Chicago voters in the coming months:

Real and tangible, indeed, for the Lift the Ban coalition, a bloc of community groups that has been leading a two-year campaign against Illinois’ ban on rent control. The group is pushing for a repeal of the state’s 1997 Rent Control Preemption Act, a law that prohibits municipalities from enacting any form of regulation on residential or commercial rent prices.

“Because of the preemption act, it’s essentially illegal for any municipality to explore the idea of regulation,” said Jawanza Malone, Lift the Ban leader and executive director of the Kenwood Oakland Community Organization. “It just doesn’t make sense. The food we eat is regulated; there are environmental protections. Why is it that rent isn’t regulated? We’re just advocating for economic well-being for all of our communities.”…

The coalition’s efforts have already resulted in a question about rent regulation slated for the March primary ballot in nine wards and about 100 precincts around Chicago, Malone said. Couple that with state Rep. Will Guzzardi, D-Chicago, introducing a bill to the state House last year repealing the rent control ban and Democratic gubernatorial candidates J.B. Pritzker and Daniel Biss expressing support of a repeal and you have a number of people optimistic about the repeal coming to fruition…

But rent regulation is not a tool that economists and realty professionals want to pull out of the tool kit. In fact, Brian Bernardoni, senior director of government affairs and public policy for the Chicago Association of Realtors, likens it to “throwing a hand grenade on your lawn to get rid of dandelions.”

The issue of affordable housing needs to be addressed in some way in the Chicago region. If there are plenty of people opposed to rent control – and I assume at least a few business leaders will fight against the idea – what alternatives will they propose? At the least, perhaps a public discussion of rent control will push other parties to put some other ideas on the table.

I know the various problems in Illinois are vast but it would be great to hear a business leader or a government official step up soon and say that they had plans to build thousands of affordable housing units. I do not know how this could be done but could this not lead to a significant improvement for residents as well as positive public perception to whoever makes this happen?

If millennials prefer suburbs, what could lead to suburban decline?

Joel Kotkin argues that millennials would rather live in suburbs than big cities:

It has been often asserted that millennials (defined as the generation born between 1982 and 2002) do not want to buy homes or live in suburbia; Fast Company, saw this as “an evolution of consciousness.” The Guardian declares that millennials are refusing to accept “the economic status quo” while Wall Street looked forward to profiting from the idea that millennials will be satisfied to live within a “rentership society” (PDF)…

Meanwhile, the much mocked suburbs have continued to dominate population trends, including among millennials. As people age, they tend, economist Jed Kolko notes, to move out of core cities to suburban locations. Although younger millennials have tended toward core cities more than previous generations had, the website FiveThirtyEight notes that as they age they actually move to suburban locations at a still higher clip than those their age have in the past. We have already passed, in the words of USC demographer Dowell Myers, “peak millennial,” and are seeing the birth of a new suburban wave (PDF).

To some extent, the meme about millennials and cities never quite fit reality outside of that observed by journalists in media centers like New York, D.C., and San Francisco. More than 80 percent of 25- to 34-year-olds in major metropolitan areas already live in suburbs and exurbs, according to the latest data—a share that is little changed from 2010 or 2000.

Suburban tastes remain predominant with 4 in 5 people under 45 preferring the single-family detached houses most often in suburban locales (PDF). Surveys such as those from the Conference Board and Neilson consistently find that most millennials see suburbs as the ideal place to live in the long run (PDF). According to a recent National Homebuilders Association report, more than 2 in 3 millennials, including most of those living in cities, would prefer a house in the suburbs.

If these trends continue, the suburbs will live on for quite a while in the United States.

This raises a question that I occasionally think about: what exactly would it take for millennials and other Americans to give up on suburbs? A few possibilities:

  1. Significantly higher gas prices. Apparently, getting up to $3-4 a gallon was not enough.
  2. Ecological disasters in the suburbs. Since there isn’t likely something that would affect all suburban areas at once (and not urban or rural areas), perhaps this would involve incidents in a number of major metropolitan areas.
  3. Another burst housing bubble. If housing it not more attractive in suburbs, this might change a lot of minds.
  4. All major employers move to big cities. I’m not sure why they would all do this is a significant number of workers are still in the suburbs but perhaps many employers needing educated workers would moving to cities, leaving suburban residents with low-wage, low-skill jobs.

Even with one of these scenarios, it would take significant time to see the suburbs on the whole decline and wealthier pockets would hold on for quite a while. Overturning the association between the American Dream and suburban life will be hard to reverse.

New mixed-income development strategy: connect them to libraries

Chicago is pursuing three small mixed-income developments that have a unique feature intended to bring the residents of different social classes together:

At the University Village/Little Italy development, a one-story public library will connect with two four-story mixed-income residential units, according to a news release from Skidmore, Owings and Merrill LLP, the design firm working on the project. It will also include retail and community spaces, and a rooftop will be accessible to residents and visitors of the library.

The housing portion of the development will have 37 Chicago Housing Authority units, 29 affordable housing units and seven market-rate apartments, according to a news release from the city.

Brian Bannon, commissioner and CEO of Chicago Public Library, said at the groundbreaking that the library will offer free tutoring to students, early childhood centers, and study and meeting rooms. The branch will also have digital resources available to residents like a 3-D printer and a recording studio. The entire development is expected to be completed within a year…

“My view is that what we are breaking ground on is community,” Emanuel said. “And a whole new different way of thinking about how do you create space. … We aren’t divided so much as we are disconnected. If we could create a place that people from different walks of lives can come together and share an experience together — we are actually going to create community.”

There are few public institutions that could serve as an anchor like this. The only other options I could imagine include a school or a child care facility or a medical clinic (all scaled to the appropriate size given the number of housing units present). Yet, each of those have a more focused use compared to a library that could be home to many different activities.

At the same time, I’m not sure a library will be a panacea to the difficulties facing mixed-income communities. Just placing residents of different social classes together does not guarantee interaction, even if they have a joint building to use. Perhaps the library will have programs and activities intended to bring the adjacent residents together. Yet, even libraries can provide plenty of spaces and opportunities to not interact.

Aaron Hernandez’s fall from grace includes owning a McMansion

Author James Patterson discusses why is he is writing about Aaron Hernandez:

You’ve said that Aaron Hernandez’s fall from grace is the story of our times, even bigger than O.J. What is it about this case that you think fascinates people?

“Well, part of it is just that fall from grace. It’s just amazing, and when we did the 48 Hours piece, which was on Saturday, I became even more aware of it: Striking looking guy, Hollywood smile and dimples, $40 million contract, McMansion, opportunity or promise to be one of the best professional football players ever. Beautiful fiancee, they’d been together since high school. Baby girl. And for it all to go up in a puff of smoke is amazing.

I’m intrigued to see the mention of a McMansion in here. Hernandez had multiple other markers of success including winning on the football field, having a large salary, and looks. But, it was still important to have a certain kind of suburban house. This home outside of Boston certainly had some McMansion features:

The 5,647-square-foot residence includes five bedrooms, six bathrooms, a wet bar, a hot tub, a sauna, a finished basement, a theater room and an in-ground pool.

The location was also apparently popular with Patriots players:

It’s a great neighborhood, which certainly has some of North Attleboro’s most expensive homes,” says Boston-area real estate agent and writer David Bates.

“A review of North Attleboro public records reveals that Patriots have been the buyers of six of the 12 million-dollar, single-family sales in that market,” Bates adds.

In contrast, imagine the well-paid sports star who buys an urban home or condo to be near nightlife and work. What pushes a good number of players to McMansions in the suburbs? Here are a few possible reasons:

  1. Suburban homes offer more privacy away from fans and media.
  2. Americans in general like suburban homes so perhaps sports stars are just like other Americans.
  3. It may matter if the athlete has a family and kids as suburbs are widely viewed as offering a better setting for raising kids.

This also reminds me of an earlier post comparing the large homes of Tom Brady and Matt Ryan. Even for the football elite, having an expensive suburban home is important.