By Tashi McQueen
AFRO Staff Writer
tmcqueen@afro.com
Baltimore City has seen a recent increase in luxury rental properties. As a result, many average or low-income Baltimoreans are being left out, making way for wealthier individuals.
“If the average rent is $1,900 and what most people can pay is $1,000 you’ve got a problem,” said Claudia Wilson Randall, executive director of the Community Development Network of Maryland. “It’s not getting any better for renters in Maryland.”
“We’re not going to wish our way to a better place,” continued Randall. “Housing is tied to everything. When thinking about improving health, education and transportation we have to think about how we right-size the rental housing supply with the need.”
According to the National Low Income Housing Coalition, in the Baltimore-Columbia-Towson metropolitan statistical area, renters must make a $37.37 housing wage to afford a 2-bedroom apartment. Housing wage is the hourly wage a person needs to make to afford a modest rental space at HUD’s fair market rent (FMR) without spending more than 30 percent of their income on housing expenses.
At FMR, 2-bedroom apartments in Baltimore cost $1,943, which requires a $77,720 annual income and 2.5 full-time jobs to be affordable. From 2018-2021, there were 129,160 renter households in Baltimore City, meaning 52 percent of households in Baltimore City are renting.
The Luxury Playbook’s 2024-2025 housing market analysis states, “while developers have focused on luxury apartments and high-end condos, affordable and mid-range rental units remain scarce.”
“Most new developments focus on high-end properties,” read the report. “Luxury apartments and condos dominate areas like Harbor East and Fells Point. These developments target higher-income residents and often feature amenities like concierge services, fitness centers and rooftop pools.”
According to HAND, between 2018 and 2022, 52 percent of Baltimore’s renters could not afford their housing costs. HAND is a nonprofit collective that works to create and preserve affordable housing.
The report acknowledges the disparities caused by the lack of affordable homes.
“Neighborhoods like West Baltimore and Highlandtown, where home prices are lower, are seeing increased demand,” read the report. “Buyers priced out of more expensive neighborhoods seek alternatives in these areas, driving up prices.”
Local-level policymakers were pushed to address this issue through renewed efforts to require a certain amount of affordable housing in new rental properties being built in the city. On Jan. 22, 2024, Mayor Brandon M. Scott (D) signed legislation aimed to ensure just that.
“We needed a policy to reinstate an inclusionary housing policy, but we needed one that would have a tangible impact on the residents who need it in our city,” said Scott during a press conference on the matter. “In Baltimore City, 50 percent of renters pay more than 30 percent of their income on rent alone. Affordability in housing means that everyone should only be paying one-third of their income on total housing costs, including mortgage or rent, electricity and other housing and utility costs.”
The inclusionary housing bill requires residential projects with 20 or more units to ensure that at least five percent are for low-income households. Also, through the bill, affordable rental units are required to stay at a reasonable price for at least 30 years from the initial residency.
According to Baltimore City Councilwoman Odette Ramos (D-District 14), a lead sponsor of the bills, the previous inclusionary housing bill that ended in June 2022 was regarded as a failure because only 34 low-income units were created under it over 15 years.
Though the new iteration of the inclusionary housing bills have been passed, on Oct. 21, 2024, members of the Inclusionary Housing Coalition accused the mayor’s office of “slow walking” the implementation of the bills.
Scott’s office responded to those concerns.
“We would vehemently push back on the claims that implementation is being slow-walked. As DHCD (Department of Housing and Community Development) outlined during the council hearing, their team is hard at work taking the steps necessary to implement the policy,” said the Mayor’s Office in a statement to the AFRO. “Mayor Scott has repeatedly expressed his commitment to ensuring that inclusionary housing policy in Baltimore moves forward in an effective manner, and it is important to note that so far, there have been no eligible projects that have moved forward before full implementation. Mayor Scott looks forward to working with Councilwoman Ramos, advocates and all relevant partners to make sure that this process moves forward as quickly as possible.”
As of Feb. 11, the mayor’s office shared that there still has not been any “units created under the Inclusionary Housing subtitle that became effective on July 21, 2024.”
The Luxury Playbook’s analysis warns renters to be aware that there will continue to be limited places to rent from ideal locations and even higher rent costs in the city.
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