Hidden Challenges & Lasting Solutions in California’s Rural Housing Crisis

For decades, California has faced a housing shortage that has caused sky-high rent, poverty, and homelessness. While California is renowned for its dense urban hubs, it is also home to a diverse array of rural areas, each with its unique set of needs. Rural communities make up 55 percent of the state’s land mass but only 9 percent of the population, home to 5.5 million people. These communities face challenges in creating affordable housing that often go unnoticed. 

Although rural communities are unique, there are shared challenges in building affordable housing. Challenges include securing subsidies, availability of labor, and infrastructure like utilities to power the work. Rural communities face difficulty in attracting large-scale development projects. Unlike urban areas, construction costs in rural communities tend to be higher, thus diminishing the incentives for private investment. 

Furthermore, the lack of access to credit in many rural areas restricts funding for the maintenance and improvement of existing housing units. California places a significant emphasis on density and transit-oriented development, primarily centered around urbanized areas. This focus can inadvertently neglect the housing affordability challenges faced by rural communities.

Dalia Flores (fifth from the left), Senior Project Manager at People's Self-Help Housing

Affordable housing leaders at organizations like People’s Self-Help Housing (PSHH) are leading the charge to meet these needs. For over 50 years, PSHH has built affordable homes with site-based services that offer opportunities to change lives and strengthen communities on the Central Coast of California. Dalia Flores, Senior Project Manager at PSHH is one of those people. 

Dalia was raised in a single-parent household in the Central Coast of California. She is the youngest of eight siblings and has lived experience with housing insecurity. She pursued higher education outside of her community, knowing that she would return one day to make a difference. Dalia earned a Bachelor’s degree in Criminal Justice and a ​​Master’s degree in Public Policy and Administration at California Lutheran University. 

Upon graduating, Dalia was introduced to PSHH, where she started as an entry-level Project Coordinator. Five years later, she is now a Senior Project Manager. 

Dalia participated in California LISC’s Housing Development Training Institute (HDTI), whose mission is to equip the staff of community-based nonprofit development organizations with the tools, resources, and skills to become future housing leaders. HDTI also connects nonprofit affordable housing staff with a network of peers doing similar work and facing similar challenges that are unique to rural affordable housing development. Dalia credits her participation in HDTI with helping her get her recent promotion. 

Dalia shared her motivation to continue this work: “It’s hard to find affordable housing anywhere in California, and rural communities are no different. I am proud to work on projects that serve the most vulnerable populations, like veterans, those experiencing or at risk of becoming homeless, and farmworkers. Everyone, including these communities, deserves an affordable place to live.”

Keegan McChesney, Program Officer, Rural LISC, shared why programs like HDTI are critical. “HDTI is threading the needle. Affordable housing is complex and not something that is generally taught in schools. It’s a specialized area of knowledge that one needs to learn on the job and formal training is needed. Participants work on active tax credit projects and gain training, skills, and a network of practitioners. This is particularly needed in rural communities that can be left behind and face additional challenges.”

HDTI is made possible with funding from Merritt Capital Community Corporation through their Commitment to California initiative. Learn more about HDTI.