Community Driven Efforts to Create More Affordable Housing
- NH Possible
- May 20
- 3 min read
Updated: May 23
The high cost of housing continues to be a pressing challenge for New Hampshire residents and businesses. Median rental costs have increased more than 30 percent since 2019, and many residents struggle to find housing they can afford. A low supply of housing options across all categories contributes to these rising costs. Residents have a hard time finding housing close to their jobs and businesses struggle to hire and retain the workforce they need. These factors hold back the success of everyone involved and harm our broader economy as well.
New Hampshire’s housing challenge is the result of multiple pressures that have increased over time. The state's population has increased over the last decade, but our pace of housing development has not kept up with the growth. Today more residents live alone than in the past. Many municipalities have been reluctant to allow new housing to be built in the community. However, efforts to make housing more affordable are underway in communities across the state.
The City of Keene is one of nearly 100 New Hampshire communities that have benefited from a new program aimed at helping cities and towns find solutions to housing affordability challenges. Supported by funding through the Invest NH program, the Housing Opportunity Planning (HOP) Grant and Housing Navigator programs were launched in 2022 to help local communities make progress toward developing more housing. Nearly 100 grants were awarded in the first two years of the program, including 72 grants for the Housing Opportunity Planning (HOP) Grant program. The program provides training to build capacity at the local level, engaging community residents and stakeholders in designing solutions.
Through the program, Keene conducted a comprehensive Housing Needs Assessment, which included interviews with area employers, service providers, residents, and other community stakeholders. Keene facilitated extensive community engagement activities with residents and businesses to explore solutions for more housing in the community.
As a result, Keene’s Cottage Court Overlay ordinance was adopted by the City Council in 2024. This residential ordinance allows small homes of up to 1,250 square feet to be built in designated areas. Since the ordinance was adopted, five housing proposals have been approved and a sixth project is awaiting the green light. Together, these six projects will add 76 new units of affordable housing in Keene. Forty-seven will be rental units located near downtown, contributing to the economic and social vibrancy of the community center.
Keene’s project is featured in a new Case Studies report published by NH Housing, which highlights the unique approaches of eleven communities that participated in the HOP Grant Program over the past year. Other New Hampshire cities and towns have recently passed ordinance changes to make their community more housing friendly.
Reforming local zoning ordinances to allow for more housing development is often a crucial step for communities. The NH Zoning Atlas catalogs housing-related zoning ordinances across the state and releases an annual update in the summer. The interactive online tool enables anyone to view how cities and towns across the state are making progress to enable more housing options that meet the needs of their community.
New Hampshire’s housing affordability crisis has far-reaching impacts on residents, businesses, and our broader economy. In mid-March, the New Hampshire Fiscal Policy Institute (NHFPI) hosted an online discussion featuring speakers from NH Housing and the NH Coalition to End Homelessness. Research was presented on the barriers to affordable housing and how increasing supply can strengthen local economies. Panelists also discussed current trends, ongoing challenges, and potential policy solutions. The event recording and slide presentation are available on the NHFPI website.
People at all levels of the income spectrum need affordable housing. This will also help employers attract and retain workers while allowing the New Hampshire economy to grow.
New Hampshire knows how to come together to solve problems. It will take all of us – residents and businesses, and the public, private, and nonprofit sectors – working together to address this challenge. Progress in Keene and other communities around the state demonstrates that solutions are possible.
Our shared prosperity depends on our ability to have housing that meets the needs of all residents, at every level of income and at every stage of life.
NH Possible is building a movement to make this vision a reality. Join us! Sign up for the NH Possible newsletter to stay up-to-date and learn how you can contribute to progress.
