Report finds significant cost savings associated with supportive housing
A study released earlier this month reconfirms the economic and health benefits of supportive housing.
The report comes out of Oregon, where supportive housing has helped a group of formerly homeless individuals dramatically cut their healthcare expenses. It finds that tenants on Medicaid at Bud Clark Commons (BCC) averaged roughly $2,000 per month in healthcare costs in their year prior to housing. Once housed, that figure dropped to just $899 a month, a 55% decrease. Collectively, the 59 tenants studied at BCC reduced their Medicaid costs by more than $783,000 in just one year. You can read the full document here.
The report concludes:
“The average resident saw a reduction of over $13,000 in annual [Medicaid] claims, an amount greater than the estimated $11,600 it costs annually to house a resident at BCC. Importantly, this reduction in claims was maintained into and beyond the second year of residency, suggesting that supportive housing had a profound and ongoing impact on health care costs for those living at BCC.”
The Center for Outcomes Research & Education (CORE) prepared the report, which is titled “Integrating Housing & Health.” You can read the full study here and a press clip on its findings in Affordable Housing Finance here. We urge you to share the latest report on the positive benefits of supportive housing!