California’s Missing Middle: Middle-Income California is Large, Diverse, and Left Out of the Housing Conversation

While California’s housing crisis gets plenty of discussion, we actually don’t know nearly enough about some of the groups most affected, particularly those defined in state law as "moderate-income." In housing policy, what we don’t know can and does hurt us.

Income levels based on Area Median Income (AMI) are central to housing policy in California and throughout the country. Whether someone is lower-income (defined as below 80% of AMI) or moderate-income (which this report will also refer to as “lower-middle-income” throughout) can determine their eligibility for affordable housing or housing assistance. AMI levels and targets also determine financing eligibility for affordable housing developers. Cities are now held accountable for providing housing across specific income levels.

Despite all this, we don’t have much research to answer these simple questions: Who is lower-middle-income California? Who is upper-middle-income in California? What are their demographics and their housing challenges? How do these compare to lower- and higher-income California?

California Community Builder’s latest report dives in: https://www.ccbuilders.org/moderate-middle-income-california-racial-wealth-gap