By Richard J. Buddin
Army family members housing is a significant-and expensive-benefit, costing the dept of safety (DoD) approximately $10 billion each year. simply because so much housing reviews have occupied with the price of on-base housing as opposed to the price of delivering allowances for rented or owned off-base housing, the authors investigated the personal tastes of army households for forms of housing and the standards that impression their offerings. carrier participants document that the industrial advantages of on-base housing are the main significant component by way of a long way in housing choice, perceiving an unlimited distinction in price among army housing and off-base housing allowances. All different components, reminiscent of a supportive feel of army group, lag a long way in the back of economic system in influencing selection. remaining the space in fiscal disparity among on- and off-base housing, and adorning courses that relief provider individuals in paying for off-base lodgings, would supply the best gain to prone and contributors.
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Extra resources for An evaluation of housing options for military families
This comparison includes an adjustment to military families' income to account for the nontaxability of housing allowances. However, we could not adjust for the fact that more military than civilian families legally reside in a state with no income tax. Multivariate analysis, which allowed us to control for other factors, confirmed that military renters pay about the same as civilian renters. 11 First-term retention rates are about 40 percent. Most members leaving the military will either return to the hometown or seek employment in an area away from their military base.
3 Reasons for Choosing Current Housing Option (percentage listing the reason as first or second most important) (average across 12 bases) Page 13 cus groups. Interestingly, having military neighbors was not considered important. 3b). Another group preferred to avoid the rules, lack of privacy, and poor housing associated with living on-base. Only 10 percent indicated that renting in town was a good economic decision, and even fewer chose civilian rental housing for other neighborhood factors. 3c).
This could be done in one of two ways. First, the housing allowances could be increased to allow families to rent or buy housing off-base that is equivalent to on-base housing. These increases in allowances could ultimately be tied to cost savings in operating fewer units on-base and avoiding the expense of replacing some of the existing housing stock. Another possibility for encouraging members to live off-base would be to charge for on-base utilities and use this revenue to enhance the housing allowance.
An evaluation of housing options for military families by Richard J. Buddin