Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

Housing & Real Estate

Mortgage Loans and Housing Tenure

Me dian Re side ntial Mortgage Amounts By Are a, 2000/2001 - 2008/2009

Home mortgage amounts track house prices, making them a good indicator of market improvement or decline. Because markets reflect neighborhood quality, rising mortgage amounts relative to other neighborhoods can mean that neighborhood quality is improving, although this is a tricky to interpret under current conditions. Recently, many neighborhoods, especially those with a high share of rentals, have seen an upswing in units bought and sold by investors, often for speculation.

$16 0 ,0 0 0 Ind ep end ence Heig hts Co mp aris o ns All Cit y Lo wM o d

$14 0 ,0 0 0 $12 0 ,0 0 0 $10 0 ,0 0 0 $8 0 ,0 0 0

Interpretation of Mortgage Amounts (Chart at Right) $6 0 ,0 0 0 $4 0 ,0 0 0 $2 0 ,0 0 0 $0 2001

Target Area Percent of Comparison Area Values: Most Recent Year - 11% Over Time

2003

2004

2005

2006

2007

2008

2009

Ye a r o f Origina tio n (Two -Ye a r Ave ra ge ) No te: Befo re 2 0 0 4 , mo rtg ag e d at a includ ed all liens ; it was no t p o s s ib le t o s ep arate o ut firs t-lien mo rtg ag es . Aft er 2 0 0 4 , o nly firs t liens are s ho wn (t rans itio n marked b y vertical line). Ho me M o rt g ag e Dis clo s ure Act d ata, analyzed b y LISC Res earch and As s es s ment

+ 28%

Perce nt of O wne r-O ccupie d Units By Are a, 1990, 2000 & 2010

Inve stor Pe rce ntage of All Home Purchase Loans By Are a, 2000/2001-2009/2010

60%

30% 19 9 0

50 %

2 5%

2000 2 0 10

40%

30% 20%

10 %

Percent of All Loans

Percent of Occupied Housing Units

2002

Ind ep end ence Heig ht s Co mp aris o ns All City Lo wM o d

20% 15%

10 % 5%

0%

0% Ind ep end ence Heig hts

Co mp aris o ns

All Cit y Lo wM o d

Ne ighbo rho o d Type Cens us 19 9 0 , 2 0 0 0 and 2 0 10 d ata, analyzed b y LISC Res earch and As s es s ment

Building Sustainable Communities Monitoring Report, January 2012

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

Year o f Orig inatio n (Two -Year Averag e) Ho me M o rtg ag e Dis clo s ure Act d ata, analyzed b y LISC Res earch and As s es s ment

Page 2 of 11

Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

Housing & Real Estate

High Cost Mortgage Loans

High Cost Loans as Perce ntage of All Home Purchase Loans to O wne r-O ccupants By Area, 2004/2005 - 2009/2010

Nationwide, an explosion in subprime lending helped create the current financial crisis, and produced a sharp rise in the numbers of foreclosed homes. Lower-income neighborhoods have been particularly hard hit. Nationwide, subprime lending peaked in 2006 and declined rapidly thereafter, but in some neighborhoods, these loans remain a large percentage of all loans outstanding.

Percent of Home Purchase Loans

80%

Interpretation of High Cost Loans (Chart at Right)

Ind ep end ence Heig hts Co mp aris o ns All Cit y Lo wM o d

70 % 60% 50 % 40% 30% 20% 10 % 0% 2005

Comparison Area Percent of Target Area Values: Most Recent Year + 123% Over Time

2006

2007

2008

2009

2 0 10

Ye a r o f Origina tio n (Two -Ye a r Ave ra ge ) No te: Hig h co s t lo ans have int eres t rates 3 p ercent ag e p o ints ab o ve co mp arab le Treas ury rates fo r firs t liens and 5 p o int s ab o ve fo r junio r liens . Lo ans o rig inated after Oct. 1, 2 0 0 9 have interes t rat es 1.5 p ercent ag e p o ints ab o ve Fred d ie M ac's es timated APR fo r firs t liens and 3 .5 p o int s fo r junio r liens . Ho me M o rtg ag e Dis clo s ure Act d ata, analyzed b y LISC Res earch and As s es s ment

+ 252%

Home Purchase Mortgage Loans by O ccupancy and High Cost Status, 2005/2006 Home Purchase and Re finance Loans in Indepe ndence He ights

High Cost

Non High Cost

2005 High Cost

Non High Cost

2006 High Cost

Non High Cost

2007 High Cost

Non High Cost

2008 High Cost

Non High Cost

2009 High Cost

Non High Cost

2010 High Cost

Non High Cost

Ho me Purchas e Lo ans

27

35

49

22

53

15

34

34

7

38

1

30

1

35

Refinance Lo ans

56

42

69

31

55

12

33

22

17

16

6

10

8

7

To tal

83

77

118

53

108

27

67

56

24

54

7

40

9

42

Percent of Home Purchase Loans

2004

10 0 % Hig hCo s t Owner Hig hCo s t Inves to r 80%

No n Hig hCo s t Owner No n Hig hCo s t Inves t o r

60%

40%

20%

0% No te: Hig h co s t lo ans have interes t rat es 3 p ercent ag e p o ints ab o ve co mp arab le Treas ury rates fo r firs t liens and 5 p o ints ab o ve fo r junio r liens . Ho me M o rt g ag e Dis clo s ure Act d at a, analyzed b y LISC

Building Sustainable Communities Monitoring Report, January 2012

Ind ep end ence Heig hts

Co mp aris o ns

All Cit y Lo wM o d

Ne ighbo rho o d Type Ho me M o rtg ag e Dis clo s ure Act d ata, analyzed b y LISC Res earch and As s es s ment

Page 3 of 11

Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

Housing & Real Estate

Population and Housing Unit Change

Interpretation of Population Change (Chart at Right)

Pe rce nt Change in Total Population By Are a, 1990-2000 & 2000-2010 20% 19 9 0 -2 0 0 0 2 0 0 0 -2 0 10

15%

Percent Change in Population

The population in many poor areas declines as better-off people leave and fewer new people move in. The number of housing units often drops as well. But sometimes population decline happens as larger poor families are replaced by smaller higherincome households. And other poor neighborhoods increase population through immigration or creation of new housing units. Places where many residents are new are often in transition: up or down.

10 %

5%

0%

-5%

-10 %

Target Area Percent of Comparison Area Values: Most Recent Year Not Applicable Over Time

Ind ep end ence Heig hts

Co mp aris o ns

All City Lo wM o d

Ne ighbo rho o d Type Cens us 19 9 0 , 2 0 0 0 and 2 0 10 d ata, analyzed b y LISC Res earch and As s es s ment

- 10% Pe rce nt Change in Total Housing Units By Are a, 1990-2000 & 2000-2010

Pe rce nt of Population Living in Same House For More Than O ne Ye ar By Are a, 2005-2009

20%

100%

2 0 0 0 -2 0 10 10 %

0%

-10 %

Percent of Population

Percent Change in Units

19 9 0 -2 0 0 0 80%

60%

40%

20%

0%

Ind ep end ence Heig hts

Co mp aris o ns

All City Lo wM o d

Ne ighbo rho o d Type Cens us 19 9 0 , 2 0 0 0 and 2 0 10 d ata, analyzed b y LISC Res earch and As s es s ment

Building Sustainable Communities Monitoring Report, January 2012

Inde pe nde nc e He ight s

Compa r isons

All Cit y LowMod

Ne ighbo rho o d Type Cens us 2 0 0 5-2 0 0 9 American Co mmunit y Survey 5-Year Es timat es , analyzed b y LISC Res earch and As s es s ment

Page 4 of 11

Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

Housing & Real Estate

Vacant Addresses and Foreclosures

Pe rce ntage of Mortgage s that are in Fore closure March 2007 - March 2011

Throughout the United States, lower-income neighborhoods are full of foreclosed, bank-owned, and vacant properties. This inventory has risen rapidly, and especially troubling are the increasing numbers of Real Estate Owned (REO) properties. Generally speaking, the higher the percentage of REO properties in a community, the larger the number of vacant properties and the corresponding threat to health and safety.

4 .0 %

Ind ep end ence Heig hts Hig h Po vert y Neig hb o rho o d s All Cit y Neig hb o rho o d s

Percent of Loans in Foreclosure

3 .5%

Interpretation of Foreclosures (Chart at Right)

3 .0 % 2 .5%

2 .0 %

1.5%

1.0 % 0 .5%

Comparison Area Percent of Target Area Values: Most Recent Year + 84% Over Time

0 .0 % M ar-0 7

M ar-0 8

M ar-0 9

Hig h Po verty Neig hb o rho o d s

REO

REO

Fo reclo s ure

All City Neig hb o rho o d s

REO

Fo reclo s ure

0%

1%

Pe rce ntage of Re side ntial Addresse s More Than Thre e Months Vacant By Are a, March 2008 - Sept 2010

Percent of Residential Addresses

Pe rce ntage of Mortgages that are in Fore closure or Re al Estate O wne d (REO ), March 2011

Fo reclo s ure

2%

M ar-11

Ap p lied Analyt ics d ata, analyzed b y LISC Res earch and As s es s ment

- 12%

Ind ep end ence Heig ht s

M ar-10

Ye a r

3%

4%

5%

Ap p lied Analyt ics d ata, analyzed b y LISC Res earch and As s es s ment

Building Sustainable Communities Monitoring Report, January 2012

12 %

Ind ep end ence Heig hts Co mp aris o ns All City Lo wM o d

10 % 8% 6% 4% 2% 0%

Qua rte r USPS Vacant Ad d res s d at a, analyzed b y LISC Res earch and As s es s ment

Page 5 of 11

Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

I n c o m e

Resident Incomes

&

W e a l t h

Inde x of Total Adjuste d Gross Income , 2001-2008

Interpretation of Resident Income (Chart at Right)

150

Index of Total AGI

The total flow of money into a neighborhood is one factor that contributes to neighborhood well-being, in terms of demand for housing or products and services of local business. And many low-income communities welcome an increase in economic diversity, often signaled by a rise in the percentage of persons earning moderate incomes or above. This can happen as new people move in, existing households earn more, or the poorest people move elsewhere.

Ind ep end ence Heig ht s

14 0

Hig h Po verty Neig hb o rho o d s

13 0

All Cit y Neig hb o rho o d s

12 0

110

10 0

90

Target Area Percent of Comparison Area Values: Most Recent Year Not Applicable Over Time

80 2001

2002

2003

Pe rce ntage of Employe d Re side nts by Monthly Earnings, 2008/2009

2006

2007

2008

Inde x of Total of Employe d Re side nts Earning More Than $3,333 pe r Month, 2004/2005-2008/2009

Ind ep end ence Heig ht s Co mp aris o ns

40%

All City Lo wM o d

30%

20%

10 %

0% M o re than $3 ,3 3 3

Two -Ye a r Ave ra ge M o nthly Ea rnings Le ve l Lo cal Emp lo yment Dynamics d ata, analyzed b y LISC Res earch and As s es s ment

Building Sustainable Communities Monitoring Report, January 2012

18 0

Index of Employed Residents

Percent of Employed Residents

50 %

$1,2 51 to $3 ,3 3 3

2005

Ye a r IRS Ind ivid ual Tax Stat is tics d at a, analyzed b y LISC Res earch and As s es s ment

+ 5%

$1,2 50 o r les s

2004

Ind ep end ence Heig ht s Co mp aris o ns All City Lo wM o d

16 0 14 0 12 0 10 0 80 60 2005

2006

2007

2008

2009

Ye a r (Two -Ye a r Ave ra ge ) Lo cal Emp lo yment Dynamics d ata, analyzed b y LISC Res earch and As s es s ment

Page 6 of 11

Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

I n c o m e

Resident Income Distribution

Interpretation of Income Distribution (Chart at Right)

W e a l t h

Pe rce ntage of Re turns with Total Adjuste d Gross Income Gre ate r Than $50,000, 2001-2008 40% Ind ep end ence Heig ht s Hig h Po vert y Neig hb o rho o d s

Percent of All Returns

The distribution of incomes across the full range of income is important to know – how well-off are people in target neighborhoods compared to people in other nearby areas? And are the households in each band growing less or more numerous over time? Increasing percentages of tax returns coming from the highest income group are a strong signal of perceived community quality (even though it might be a sign of possible displacement).

&

30%

All Cit y Neig hb o rho o d s

20%

10 %

Target Area Percent of Comparison Area Values: Most Recent Year + 27% Over Time

0% 2001

2002

2003

2005

2006

2007

2008

Ye a r IRS Ind ivid ual Tax Stat is tics d at a, analyzed b y LISC Res earch and As s es s ment

- 5%

Pe rce nt of Individual Tax Re turns by Income Group, 2008 10 0 %

Pe rcent Change in Total Re turns by Income Group, 2001 - 2008 16 0 %

$50 ,0 0 0 o r Greater $2 5,0 0 0 - $4 9 ,9 9 9

14 0 %

$10 ,0 0 0 t o $2 4 ,9 9 9

12 0 %

Und er $10 ,0 0 0

60%

40%

Percent Change

80%

Percent of Returns

2004

Ind ep end ence Heig hts Hig h Po vert y Neig hb o rho o d s All Cit y Neig hb o rho o d s

10 0 % 80% 60% 40%

20%

20% 0% Ind ep end ence Heig hts

Hig h Po verty Neig hb o rho o d s

All City Neig hb o rho o d s

0% Les s Than 2 5K

2 5K - 50 K

Greater than 50 K

Inc o m e Gro up IRS Ind ivid ual Tax Stat is tics d at a, analyzed b y LISC Res earch and As s es s ment

Building Sustainable Communities Monitoring Report, January 2012

IRS Ind ivid ual Tax Stat is tics d at a, analyzed b y LISC Res earch and As s es s ment

Page 7 of 11

Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

I n c o m e

Poverty and Income

&

W e a l t h

Pe rce nt of Population Living Be low Pove rty Le ve l, 1990, 2000, 2005-2009

Poverty percentage is the share of area households that earn the least. Half of all households earn above the median income and half earn below. Because incomes generally rise over time, a "flat" median income from census to census means the neighborhood is losing ground. Of special interest is the percentage of people who earn income through work -- wages and salaries -- and not only from public benefits or social security.

40%

1990 3 5%

2000 2005-2009

Poverty Rate

30%

Interpretation of Poverty and Income (Chart at Right)

2 5%

20%

15%

10 %

5%

Comparison Area Percent of Target Area Values: Most Recent Year - 22% Over Time

0% Ind ep end ence Heig hts

Co mp aris o ns

All City Lo wM o d

Ne ighbo rho o d Type Cens us 19 9 0 , Cens us 2 0 0 0 and 2 0 0 5-2 0 0 9 American Co mmunit y Survey 5-Year Es timat es , analyzed b y LISC Res earch and As s es s ment

- 3%

Pe rce nt of Individual Tax Re turns With Wage and Salary Earnings, 2001 - 2007

Me dian House hold Income , 1990, 2000, 2005-2009 $4 0 ,0 0 0

10 0 %

19 9 0 2000 2 0 0 5-2 0 0 9

$3 0 ,0 0 0 90%

Income

Percent of Returns

Ind ep end ence Heig hts Hig h Po vert y Neig hb o rho o d s All City Neig hb o rho o d s

$2 0 ,0 0 0

80% $10 ,0 0 0

$70 % 2001

Ind ep end ence Heig ht s 2002

2003

2004

2005

2006

2007

Ye a r IRS Ind ivid ual Tax Stat is tics d at a, analyzed b y LISC Res earch and As s es s ment

Building Sustainable Communities Monitoring Report, January 2012

Co mp aris o ns

All Cit y Lo wM o d

Ne ighbo rho o d Type Cens us 19 9 0 , Cens us 2 0 0 0 and 2 0 0 5-2 0 0 9 American Co mmunit y Survey 5-Year Es timat es , analyzed b y LISC Res earch and As s es s ment

Page 8 of 11

Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

Economy & Workforce

Resident Employment

Inde x of Employe d Re side nts By Are a, 2004/2005-2008/2009

Helping low-income residents get jobs and keep them is one of the most difficult community development challenges. Increased numbers of employed residents are a welcome sign of neighborhood strength. Changes in employment levels, as well as the incomes earned by residents, often are tied to the performance of specific economic sectors, which display different patterns of gain and loss.

12 0 Ind ep end ence Heig hts Co mp aris o ns All Cit y Lo wM o d

Index of Employed Residents

110

Interpretation of Employed Residents (Chart at Right)

10 0

90

80

70

Target Area Percent of Comparison Area Values: Most Recent Year Not Applicable

2006

2007

2008

2009

Ye a r (Two -Ye a r Ave ra ge ) Lo cal Emp lo yment Dynamics d ata, analyzed b y LISC Res earch and As s es s ment

+ 5%

Pe rcent of Adult Population in the Labor Force By Are a, 1990, 2000, 2005-2009

Inde x of Employe d Re side nts in Se rvice Industry Group By Are a, 2004/2005 - 2008/2009 110

80% 19 9 0 2000 60% 2 0 0 5-2 0 0 9

40%

20%

0% Ind ep end ence Heig hts

Co mp aris o ns

All City Lo wM o d

Ne ighbo rho o d Type Cens us 19 9 0 , Cens us 2 0 0 0 and 2 0 0 5-2 0 0 9 American Co mmunit y Survey 5-Year Es t imat es , analyzed b y LISC Res earch and As s es s ment

Building Sustainable Communities Monitoring Report, January 2012

Index of Employed Residents

Percent of Population Age 16 & Older

Over Time

60 2005

Ind ep end ence Heig hts Co mp aris o ns All City Lo wM o d 10 0

90

80 2005

2006

2007

2008

2009

Ye a r (Two -Ye a r Ave ra ge ) Lo cal Emp lo yment Dynamics d ata, analyzed b y LISC Res earch and As s es s ment

Page 9 of 11

Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

Economy & Workforce

Local Jobs & Business Vacancies The strength of local labor markets, including availability of nearby jobs (within one mile of target area Census tracts), may have an effect on resident ability to find work. Increased area job numbers also signal the economic strength of nearby busines

Interpretation of Local Jobs (Chart at Right)

Target Area Percent of Comparison Area Values: Most Recent Year Over Time

Percent of Business Addresses

Pe rce ntage of Business Addre sse s More Than Thre e Months Vacant By Are a, March 2008 - Se pt 2010 18 % Ind ep end ence Heig ht s 16 %

Co mp aris o ns

14 %

All City Lo wM o d

12 % 10 % 8% 6% 4% 2% 0%

Qua rte r USPS Vacant Ad d res s d at a, analyzed b y LISC Res earch and As s es s ment

Building Sustainable Communities Monitoring Report, January 2012

Page 10 of 11

Core Indicators of Neighborhood Quality Neighborhood Independence Heights City Houston, TX

D e m o g r a p h i c s

Racial & Ethnic Diversity Pew Research Center surveys show that most people say they would prefer to live in a racially and ethnically diverse neighborhood, although this diversity has proven difficult to create and sustain. The Index of Diversity at right measures the probabilit

Interpretation of Diversity of Borrowers (Chart at Right)

Target Area Percent of Comparison Area Values: Most Recent Year Over Time

Building Sustainable Communities Monitoring Report, January 2012

Page 11 of 11