The Housing Coordination Plan serves as a regional “playbook” for the next 5–10 years, outlining strategies to preserve, enhance, and grow the Rockford Region’s housing supply.
Rather than prescribing one-size-fits-all actions, the plan equips communities with insights, data, and practical tools to support thoughtful, sustainable growth. Its overarching goal is to ensure every resident has access to housing that is affordable, accessible, healthy, and safe
Middle-income housing is commonly defined as housing for people earning between 80 percent and 120 percent of the Area Median Income (AMI). This housing is specifically targeted toward those who earn incomes that are too high to qualify for many federally subsidized income-restricted housing developments, but don’t always earn enough to afford market-rate units.
Investment in high-quality low-income housing is a key aspect of economic development and addressing systemic inequality. Housing generally provides a foundation for accessing education, job opportunities, and generational wealth, while affordable housing allows households to budget for other needs such as food and healthcare. Affordable housing also bridges the gap for unsheltered people, or residents of transitional and permanent supportive housing who are searching for long-term housing.
It is necessary to address opportunities for site redevelopment or adaptive reuse of vacant structures. The decay of buildings and blight, particularly in more urbanized parts of the region, often increases crime and reduces the desirability of the surrounding neighborhood. Post-COVID-19, office buildings have become disused, leading to numerous vacancies. Finding ways to repurpose these buildings for residential use will help to expand the housing stock and prevent neighborhood decline.
Rehabilitation and renovation of residential structures conserve materials and construction costs, while also preserving the naturally occurring affordable housing stock. Community revitalization of housing stock is most needed in low-income communities, where housing is often older and more at risk of dilapidation due to limited financial resources for home repairs. These efforts are most effective when they take the burden off of residents who cannot afford to make these changes themselves.
Strategies to preserve affordability will need to be prioritized alongside community revitalization efforts in historically disinvested areas of the region to avoid displacing lower-income households as property values rise. It is necessary that preservation efforts also be actively directed toward existing dedicated affordable housing stock. This includes public housing projects, Section 8 housing, and privately managed LIHTC developments.
The construction of housing may replace vegetation or open space with impervious surfaces that contribute to stormwater runoff, water pollution, and extreme heat. Solutions may include rain gardens, incorporating additional landscaping, or utilizing permeable pavers. Housing infrastructure will also need to support more renewable energy sources to address the climate crisis. Energy efficiency can be supported by using all-electric, Energy Star-rated appliances.
Planning for walkability, multimodal transportation, and increased accessibility to essential services is a priority in housing development. Great density near high-frequency transit and rezoning in transportation hubs can help address this. Promoting connectivity in moderately developed areas requires intentional subdivision planning that connects to existing streets, as well as an emphasis on active transportation and public space to provide opportunities for connection.
Many older adults would benefit from the construction of affordable, accessible, smaller dwellings or multi-unit housing. Senior homeowners often find it difficult to maintain the size of their current homes, and those who rent struggle to afford housing on a pension or Social Security Income alone. While senior home repair and modification programs may be beneficial, there is a need for housing types that allow seniors to downsize into homes that meet their needs and abilities.
Designing housing for people with disabilities and older adults before construction reduces long-term costs for owners and residents needing universal features. Emphasizing accessibility compliance can promote innovative solutions to boost affordable, accessible units in new developments. Including universal design elements during initial design offers low- or no-cost options.
Streamlining administrative processes can save developers time and money, especially for those working with limited capital. Simplifying permitting processes, coordinating applications across municipal departments, and preapproving plans are all examples of streamlining local government efforts to facilitate development. These relationships can help eliminate roadblocks while planning for the long-term impacts development may have on a community.
Expanding social and housing services helps residents achieve and sustain stable housing. Housing counselors can provide renter education, pathways to homeownership, sources of rental or down payment assistance, and financial literacy skill-building. Other supportive services that help individuals maintain stable housing include mental health services, child care, and language access services for households with Limited English Proficiency.
In order to address the housing issues facing the Rockford Region it is first necessary to develop a shared understanding of common terms and indicators associated with housing. Several key terms are defined below.
An accessory dwelling unit (ADU) is a smaller, independent residential dwelling unit located on the same lot as a stand-alone (i.e., detached) single-family home. ADUs go by many different names throughout the U.S., including accessory apartments, secondary suites, and granny flats. [i]
A generic term covering all federal, state or local government programs that reduce the cost of housing for low- and moderate-income residents. This term has the same meaning as subsidized housing.
Housing can be subsidized, or made affordable in numerous ways—giving tenants a rent voucher, helping homebuyers with downpayment assistance, reducing the interest on a mortgage, providing deferred loans to help developers acquire and develop property, giving tax credits to encourage investment in low- and moderate-income housing, authorizing tax-exempt bond authority to finance the housing, providing ongoing assistance to reduce the operating costs of housing and others. Public housing, project-based Section 8, Section 8 vouchers, tax credits, the State Housing Trust Fund, and Seattle Housing Levy programs are all examples of subsidized housing. Subsidized housing can range from apartments for families to senior housing high-rises. Subsidized simply means that rents are reduced because of a particular government program. It has nothing to do with the quality, location or type of housing.[ii]
ARI is a tool intended to identify census tracts throughout Illinois that are becoming less affordable at a faster rate. The ARI uses American Community Survey data to measure change over time across various factors that indicate affordability loss:
Scores in the ARI range from one (1) to five (5). Areas identified by the Index as having significant changes across the above factors (either positive or negative change depending on the factor) will receive higher scores. [iii]
AMI is the midpoint of a specific area's income distribution calculated on an annual basis. It is a key metric used in affordable housing to determine eligibility for federal and local programs and to set income limits and rents. [iv]
The United States Department of Housing and Urban Development (HUD) considers a household to be “cost-burdened” if they spend over 30% of their gross annual income on housing costs. Households that spend over 50% of their gross annual income on housing costs are considered “severely cost-burdened." Households that are cost-burdened are more likely to experience housing instability, which means a household faces housing-related challenges day-to-day at a level that can negatively impact their health and safety.[v]
“Housing that is affordable” refers to any type of housing, regulated or not, that costs less than 30% of a household's pre-tax income. This definition is a generally accepted definition of affordability. This is not to be confused with "affordable housing." [vi]
The term “housing stock” means the number of existing housing units based on data compiled by the United States Bureau of the Census and referable to the same point or period in time. [vii]
Market-rate housing refers to non-subsidized properties that are rented or owned by those who pay market-rate rents or who paid market value to purchase the property. Unlike subsidized affordable housing, market-rate housing does not confer special government benefits. Rents or prices reflect market conditions; these units are typically developed by for-profit developers. [viii]
Middle housing refers to housing that provides diverse housing options along the spectrum of affordability, which includes duplexes, triplexes, fourplexes and bungalows. Middle housing is not eligible for tax credits or most other federal, state or local government subsidies. Typical middle housing types include multiunit structures such as townhomes, duplexes, triplexes and fourplexes. Other examples can include cluster homes and cottage courts. Middle Housing is housing typically affordable to households earning between 80% and 120% of an area's median family income. It is not typically regulated.[i]
Housing that is affordable to low-income households but not regulated or restricted by a funding source, is referred to as “low-cost market rentals.” These housing units are often affordable by nature of their location, condition, age, or the amenities offered nearby or at the property. These units are often called "low-cost market rentals." [ix]
RIAs are targeted geographic areas that demonstrate the most salient market conditions suggesting that revitalization, or concerted community development planning, would be especially beneficial within these communities. RIAs identify census tracts demonstrating one or more of these market conditions, classifying them as either Moderate or High Revitalization Impact Areas:
A single-family home is a house intended for one family to live in at a time. In most cases, this phrase is used to refer specifically to single-family detached homes—meaning freestanding structures on their own pieces of property and not attached to homes owned by other individuals. [xi]
Supportive housing is a highly effective strategy that combines affordable housing with intensive coordinated services to help people struggling with chronic physical and mental health issues maintain stable housing and receive appropriate health care.[xiv]
The Northern Illinois Land Bank Authority acquires vacant and tax-delinquent properties in Winnebago, Boone, Stephenson, McHenry, and Lake Counties and returns them to productive use. The transformation of these properties reduces blight, increases property values, and revitalizes neighborhoods. Slide the bar across the image below to see how vacant properties in the region get transformed by the Land Bank and Trustee Programs.
View Northern Illinois properties for sale at nilba.org/home
Left: 1522 N Winnebago St: Sold by Trustee on 10/23/2020 for $12,344
Right: 1522 N Winnebago St: Sold by new owner on 7/26/2021 for $130,000
R1 offers free, HUD‑certified housing and financial counseling to help Northern Illinois residents build stability, improve credit, and prepare for future housing opportunities. Whether you're budgeting, exploring homeownership, or working toward long‑term financial goals, R1’s counselors provide personalized guidance and practical next steps.
Access the counseling intake form at r1planning.org/housing-counseling
Have questions or want to learn more about a project, contact us below:
| Phone | 815-319-4180 |
|---|---|
| info@r1planning.org | |
| Website | r1planning.org |
