Tech giant Apple has delivered more than $1 billion for housing projects across California over the past 18 months.
Technology-industry heavyweights like Apple and Amazon are offering affordable housing solutions across America, with the housing bubble crisis booming throughout the country, primarily due to the pandemic.
While one group of American households is rushing to buy homes with savings built during the pandemic, another group is being locked out of ownership as prices march upward, according to the annual State of the Nation’s Housing Report released last month.
The New York Times reported those who bore the brunt of pandemic job losses remain saddled with debt and are in danger of losing their homes.
“Millions of households were financially unscathed coming out of the pandemic,” Joint Centre for Housing Services Senior Research Analyst Alexander Hermann told NYT.
“But the pandemic has left millions of others struggling to make their housing payments, especially lower-income households and people of colour (POC).”
Apple’s commitments are designed to address housing scarcity and affordability across several distinct approaches, targeting various populations and filling existing gaps in the sector.
The $1 billion in funding has reportedly helped support new housing development and construction, assisted first-time buyers to purchase homes, and expanded programs to reduce homelessness. Apple says it has supported affordable housing efforts across 25 California counties to date.
Apple has reportedly provided mortgage and down payment assistance to thousands of low-and moderate-income first-time homebuyers, two-thirds of borrowers identifying as POC.
Apple does not make its physical products in the US, most frequently outsourcing to Foxconn factories in China. However, its developers (based primarily in California on Apple Campus) are paid an average of $124,054, according to Business Insider. Its affordable housing projects are not targeted towards their US employees.
Amazon also made a statement earlier this week that will give Virginia’s Arlington County US$40 million worth of unused land to build 550 new, affordable housing units. The e-commerce giant is currently constructing its second headquarters in the area.
“Amazon is committed to promoting economic inclusion for all families and fostering a thriving community in and around Arlington,” Amazon Head of Community Development Catherine Buell said.
Back in January, Amazon announced it would provide US$381.9 million in low-rate loans and grants to the Washington Housing Conservancy, in order to provide affordable housing near its headquarters in Arlington.
Amazon’s entry-level workers are reportedly paid US$17 per hour.
Amazon’s founder and former CEO Jeffrey Bezos is the world’s richest person on the Bloomberg Billionaires Index.
