Analysis of Cost Saving Programs

Innovative Programs Help Cut Costs

GMHF is committed to providing resources to individuals, developers, builders and community leaders interested in creating affordable housing. As the costs for limited resources and laborers involved in housing construction and upkeep continue to rise, many innovative programs have been developed to help maintain levels of affordability for Minnesota's outstate homebuyers.

In addition to the Building Better Neighborhoods program, GMHF has researched a series of models designed to reduce the purchasing price of new units. Our findings: it is possible to cut costs without cutting quality! Below are some options. The links to the right provide a more detailed analysis of programs and construction techniques designed to increase affordability.

Innovative Affordable
Housing Programs

Housing Preservation
Prison Built Housing
Youth Built Housing
Self Help Housing

Individuals
Self-Help Housing
* Sweat Equity
Participate in the construction process.
* Affordable Mortgages
Search for affordable mortgage and financing products.
If you are a first-time homebuyer, insist on special programs and interest rates.
Use homebuyer education classes to get the most out of homeownership.
Insist on a mortgage with a competitive interest rate and term.

Developers
Stress Panel Housing
* Technology
Utilize new technologies to limit future expenses.
Use efficient heating and air conditioning units to provide long-term benefits.
Seal homes tightly and provide excellent air exchange units.
Utilize natural benefits through proper home placement on the land.
* Design
Modify designs to be smaller and more cost effective.
Design homes to allow for future additions.

Builders
Youth-Built Housing
* Economies of Scale
Build at economies of scale to make the best use of time and money.
* Land Use
Seek local approval for higher density land development.
Infrastructure
Reduce land and infrastructure costs through narrower lots.

Communities
Housing Preservation
* Planning
Plan/control land and infrastructure costs through denser housing and land development.