Study recommends Oswego diversify housing stock to attract more first time home buyers

A housing study is recommending Oswego diversify its housing market to attract more first time home buyers as well as encourage smaller homes for empty nesters looking to downsize.

The village received a technical assistance grant by the Metropolitan Mayors Caucus to conduct a housing study called Homes for a Changing Region. The Metropolitan Mayors Caucus is a nonprofit group that works with municipalities across the region.

Since 2005, the Homes for a Changing Region program has worked with more than 60 suburbs in the Chicago area.

“It’s mission has always been to offer strategies for municipalities to work towards a balanced and healthy housing stock,” Ben Schnelle, manager of housing initiatives for the Metropolitan Mayors Caucus, said in talking about the study at the Nov. 18 Oswego Committee-of-the-Whole meeting.

The program is funded by the Illinois Housing Development Authority. The housing study for Oswego started with a stakeholder meeting in May and a focus group meeting in June.

“We got to hear from a wide variety of perspectives,” Schnelle said.

A community survey asking residents about housing needs also was conducted. As the study noted, the village’s aging population is growing and has changing housing needs.

“Between 2012 and 2022, the number of seniors in Oswego more than doubled,” Schnelle said. “As we note in the report, this is a trend that’s happening everywhere, not just in Oswego. But we do note that it’s happening at a faster pace in Oswego.”

One in four people who responded to the community survey said their current home will not meet their future housing needs. The need to downsize and reduce homeowner costs were the two most cited reasons, Schnelle said.

“Looking at Census Bureau data, you can see that seniors in Oswego, as in most communities, typically have a more modest income,” he said. “In part, because of that, one in three senior homeowners in Oswego are spending more than 30% of their monthly income on housing.”

In addition, the study also shows that Oswego lacks homes at more attainable price points for first-time home buyers. The study states Oswego would benefit from continuing to diversify its housing options.

Along with that, those answering the community survey said they would like to see more small businesses in the village’s downtown along with more restaurants and activities.

Schnelle said the village could consider encouraging developers to build smaller homes for empty nesters looking to downsize and to offer houses at more attainable sales prices for first-time home buyers.

The village could consider forming a housing commission or housing task force to look at changing housing needs, according to the study.

“Communities across the Chicago region have found it helpful to set up a housing commission,” he said. “I think the most relevant purpose here in Oswego is just tracking housing needs as they change over time. You have some demographic trends when it comes to aging. And to look at the pace of growth that’s happening in Oswego.”

Oswego Village Administrator Dan Di Santo noted the goal was to have the housing study done before working on updating the village’s Comprehensive Plan next year.

“In addition to that, we have a strategic plan that we have in the budget to start as well next year,” he said. “And so the timing works out really well.”

Oswego Village President Ryan Kauffman said the housing study is a good resource.

“This helps inform and guide our decisions with what we do with housing going forward,” he said.