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Defining "Choice" in the Housing Choice Voucher Program: The Role of Market Constraints and Household Preferences in Location Outcomes

Author: Martha M. Galvez

Dissertation School: New York University

Pages: 125

Publication Date: April 2011

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Access Number: 10856

Abstract:

The "Section 8" Housing Choice Voucher (HCV) program subsidizes the private market rents of nearly 2 million low-income households nationwide. This dissertation is a mixed-methods examination of HCV program neighborhood locations, focusing on concentration and neighborhood quality outcomes for voucher holders in 315 metropolitan areas coupled with an in-depth analysis of move preferences for a sample of voucher holders in Seattle, Washington.

Results show that most voucher holders live in moderate poverty rate neighborhoods and relatively few experience extremely high neighborhood poverty rates. However, assisted households are unevenly distributed across neighborhoods and, on average, neighborhood quality for voucher holders is no better than that of similarly poor households or Low Income Housing Tax Credit unit locations.

Results are more promising for Black households. It appears that vouchers may allow Black households to live in lower poverty, less distressed neighborhoods compared to similarly poor Blacks in the same metropolitan areas. Regression results suggest that racial segregation and the racial composition of both the metropolitan area and voucher program populations play important roles in location outcomes, and that anti-discrimination laws may have a positive impact on neighborhood quality outcomes.

Location outcomes and survey data for the Seattle households show considerable movement across Seattle neighborhoods, but little improvement in overall neighborhood quality as a result of voucher moves. Nevertheless, survey results suggest pre-voucher move preferences reflect pre-program neighborhood satisfaction, and both preferences and satisfaction appear to predict move outcomes. Respondents who wanted to move to new neighborhoods tended to do so, respondents who wanted to lease in place likely did so, and respondents who were dissatisfied with pre-program neighborhood quality were more likely to experience improvements in quality as a result of their move.

In contrast, place attachments and market perceptions were only weakly correlated with move preferences and outcomes. Importantly, dissatisfaction with neighborhood quality was the exception, not the norm-which may help explain disappointing move outcomes for the sample as a whole.

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