AFFORDABLE-HOUSING EFFORTS LOOK TO CREATIVE PLANS

Efforts to find ways to make more affordable housing available in the Cape Girardeau area are continuing, but officials of government agencies say the demand for lower-income rentals and mortgages far exceeds the available supply.

Government programs that assist with rent payments have long been the major force in providing subsidies and other assistance to low-income renters. But with reforms in federal and state welfare programs, this is expected to change drastically.

Clearly, the need to provide adequate housing exists at all income levels. But real estate agents in this area say the housing market for moderate and upper income levels is strong, with plenty of listings and steady sales.

Lower-income families, however, have been dependent for so long on government housing programs that it is likely to take a major shift in the marketplace before all the demand for affordable housing can be met.

There are examples of how this demand can be done. Some involve government agencies, while others rely wholly on private enterprise. There are some investors who have seen the potential for low-cost housing and have purchased multifamily units, paid for needed repairs and remodeling and rented the units at rates that are affordable -- without subsidies.

Still other programs such as Habitat for Humanity find ways to turn low-income families into homeowners through volunteer assistance and creative financing plans.

Last year a joint effort involving utility companies, banks and insurance companies began building low-cost homes in Cape Girardeau that will make home ownership a reality for 15 families. Instead of concentrating the houses in one development area, this effort uses homesites scattered throughout the city. The result of this project, which received help from the city and the chamber of commerce, will be quality houses at affordable prices and with low-interest loans.

These projects aimed at filling the gap in low-cost housing clearly are a start, but the demand is much greater than the supply these efforts can provide. Other groups and developers will be watching as these units go on the market. The opportunity exists for even more creative projects that will, over time, fulfill the demand for housing from families who are trying to make ends meet by holding jobs and staying off welfare.