CAPE COD is a crown jewel of Massachusetts, a draw for visitors, and a revenue driver for our state.  Its beauty is breathtaking– which is why families vacation on our beaches and why writers, painters, and poets have come to our shores for centuries to draw inspiration.  It is also why people move here to retire or – in this age of virtual work – relocate or buy a second home.

It is, however, that very popularity and desirability that has led to an existential crisis: an intractable housing shortage that is sending more and more local, multi-generational families to move off-Cape to where housing and homeownership are more attainable. This crisis is a threat not only to our families, but to our workforce, our seasonal economy, and our way of life.

The Affordable Homes Act recently filed by the Healey-Driscoll Administration will give communities the tools they need to begin to address this crisis and create more housing opportunities for our teachers, public safety workers, hospitality employees, and many other vital contributors to our local workforce.  It is a housing bond bill that also creates important new policies.

To put the current crisis into perspective, consider these key facts: The cost of a home on Cape Cod has risen 84 percent in just the six years between 2016 and 2022, reaching a median price of $660,000 this past December. This massive loss of buying power is causing the Cape to lose more than 800 families a year earning under $100,000.

Most local residents are feeling this drain.  Police and fire departments are understaffed, which can slow down response times.  There are longer waits to be seen in health care settings.  Local nursing homes are closing.  Schools are struggling to recruit needed teachers. Even simple things like getting served at a coffee shop or restaurant take longer, and cherished local shops and cafes are closing because there are simply no workers to hire.

We can do better than this. And the Affordable Homes Act, at long last, gives us the tools to do just that.  Several key provisions of this bill will directly address the aspects of our situation that make things acutely worse on the Cape than elsewhere:

  • Creating a seasonal communities designation – One provision creates a designation recognizing the very unique challenges facing communities like ours. A variety of tools could be included within this designation, such as allowing local property tax exemptions for dwellings that are rented on a yearly basis and occupied year-round, as long as the rent is within one-and-a-half times of the fair market amount for the area. 
  • Allowing ADUs by right – Accessory Dwelling Units, which are often referred to as in-law apartments, are small units built next to or behind a property.  ADUs are often called “the low-hanging fruit” in addressing the housing crisis because of their ability to house both relatives and non-relatives in an economical and efficient way.  Thousands of these units coming online in a short space of time could put a dent in our housing crisis.
  • Establishing a real estate transfer fee – The bill includes a transfer fee between half a percent and 2 percent, paid by a home seller, on the portion of sale proceeds above a yet to be determined threshold. These funds would provide a mechanism to allow us to take care of ourselves, eliminate funding competition with other communities, and assist in the creation of vital housing.
  • Providing local housing investments – Over $4 billion in grants and funding for improved local infrastructure as well as improvements to the public housing stock, including on the Cape, where it is so desperately needed.

The Affordable Homes Act will make its way through the Legislature over the next several months. Wrangling – part of the process of making public policy – can change the very nature of a bill.  As different constituencies weigh in, key sections are added and dropped.

It is important for our state leaders to hear our voices in support of the above provisions that will, at long last, enable Cape communities to finally begin to address this stubborn housing crisis. We have a long history of helping each other and taking care of ourselves, we just need the tools.

The time is now to save Cape Cod. The need has never been more dire.

Alisa Magnotta is the CEO of Housing Assistance, a regional nonprofit that provides a range of services and programs that bridge the wide gap between homelessness and homeownership on Cape Cod, Martha’s Vineyard, and Nantucket.