The Value of Housing

“Affordable” has different meanings, depending on if the buyer has two quarters in his pocket or an extensive line of credit.

The same can be said for determining a community's housing market. Additionally, available housing is a key part of encouraging economic development of a community.

Sidney Economic Development Director Melissa Norgard met with the Sidney City Council on Sept. 22 proposing a comprehensive housing needs assessment of the community. In her proposal, Norgard said the study is needed “to identify and evaluate the new demographics in Sidney, economic characteristics, government policies and incentives.”

“In addition, a complete housing study will collect input from area leadership, stakeholders and residents. A housing study will assist with quantifying the number of housing units, rental and for-sale currently available and housing units needed in the market, price point, number of bedrooms and bedroom type and market segments (including families, seniors, disabled and young professionals.)

The student will also offer recommendations on how to meet specific housing goals as well as recommendations on what would benefit and improve the Sidney housing market.

“Currently there are approximately 50 houses on the market in Sidney,” she added.

Norgard said recent announcements of companies expanding and creating new jobs in the Sidney area means there is a need to recruit new workers to fill these jobs; affordable housing will influence the recruiting of new employees.

“Housing is both a quality of life and economic development issue that must be addressed if Sidney is going to continue to grow and progressively move forward into the future,” she said.

Norgard approached the council with a proposal for a $10,000 reimbursement grant from the Nebraska Community Foundation Donor Advised Fund and $10,000 matching NIFA grant fund. She said the last housing study was done in 2012.

“That's a long time and a lot has changed,” she said. “The bottom line is affordable housing looked a lot different five years ago.”

The application for the grants must be submitted by October 23.

“I think we have a good chance at the NIFA grant,” she added.

According to the United States Census Bureau, Sidney had a population of 6,115 in April 1, 2019, down from 6,776 in April 2010, a decrease of 9.8 percent. The median value of owner occupied housing from 2014 to 2018 is about $113,000.

The median household income from 2014 to 2018 is $58,784, and the percapita income in the last 12 months (in 2018 dollars) is $32,814. The US Census Bureau also reports about 9.6 percent of Sidney is in the poverty range. In 2017, according to city-data.com, the estimated median house or condo value was $137,747, up from $58,600 in 2000. Median gross rent in 2017 was $703. The March 2019 cost of living index had Sidney at 76.4, compared to the US average of 100. A cost-of-living index is a theoretical price index that measures relative cost of living over time or regions. It is an index that measures differences in the price of goods and services, and allows for substitutions with other items as prices vary.

Norgard said in her discussion with the council the definition of affordable housing is much different now that average incomes are between $30,000 and $50,000 compared to when Cabela's was fully staffed a few years ago.