Bridging the Affordability Gap: A New Rental Assistance Program for Whitefish

The scenic town of Whitefish, Montana is known for its natural beauty and vibrant community.

However, like many popular mountain towns, Whitefish faces challenges with housing affordability for its workforce. A new rental assistance program aims to help bridge the gap.

The program, expected to launch in 2024, will provide monthly rental subsidies to qualifying low and middle-income residents. The goal is to make market-rate units affordable for essential workers like teachers, nurses, police officers, and hospitality staff who keep the town running.

With Whitefish's median home price now over $600,000, buying a home is out of reach for many who work in the city. Rental prices have also skyrocketed, with the average two-bedroom apartment now costing $1,600 a month.

That's a huge chunk of income, especially with most tourism and service jobs paying $15-$20 an hour.

The program will work by capping rental payments at 30% of the participant's income. The balance will be paid to the landlord by the program.

For example, if someone earns $40,000 a year, their rent payment would be capped at $1,000 per month for a two-bedroom unit. The program would pay the additional $600 directly to the landlord.

The City Council is considering allocating $200,000 to help fund the program's launch. Additional funding sources like grants and private donations are also being explored.

If approved, the program would support between 15-30 households in its first year. The goal is to expand over time to assist more residents struggling with high rents in Whitefish. By subsidizing rents for local workers, the program aims to promote housing stability and workforce retention for those who keep the city running.

For more on the rental affordability crisis in Montana mountain towns, check out this report on housing trends. To learn more about rental assistance programs, visit HUD's rental help site.