In Houston Texas, K.Group DAO —a Wyoming-registered DAO — is currently housing a maximum of twelve low-income Americans. Its mission is helping America’s low income families and individuals cut rental costs.
Two weeks have passed since K.Group DAO launched its token on JuiceBox in a bid to raise a minimum of 500 ETH for the construction of affordable multi-family homes.
As a DAO, its model is buying and converting residential properties into shared living spaces(SLS) — but the major problem it wants to address is America’s lingering affordable housing crisis.
Today, 11 million Americans spend half of their income on rent — with this accounting for nearly 35% of their monthly income. Meanwhile, housing crisis across the globe persists because it is expensive to rent or own a property in most countries — including the US.
America’s housing crisis is peculiar. It faces a shortage of 7 million affordable homes and there have been soaring house prices since the Covid -19 pandemic. The consequences have remained dire : many people struggle to keep a roof over their head and more people are increasingly becoming homeless as a result of the skyrocketing house prices.
According to Moody Analytics, a financial research company, America’s housing shortage is in its 30th year, and the current trends have been genuinely worrying since the outbreak of the Covid 19 pandemic.
Being shut out of the dream of homeownership or facing a possible eviction can be a very depressing experience for the average American, and salting away a large chunk of a month’s income is the only assurance of having a place to call home.
The effects of the rising cost of housing on the average American — who bears the brunt — are better imagined than described. To the nation’s average citizen, exorbitant house prices mean living in low-cost neighborhoods , commuting from great distance to work on a daily basis, and cutting down on groceries.
CAUSES OF AMERICA’S AFFORDABLE HOUSING CRISIS
In a study by Moody’s Analytics, America’s housing crisis is rooted in the 2008 financial crisis which saw a shortage of materials, labour, land, and lending.
As a consequence, there has been an increase in the prices of construction materials and the incentives for building low-priced homes in many of the affected states have continued to dwindle.
Moreover, the covid19 pandemic has also fueled the affordable housing crisis in the country following a high demand for living space by renters or buyers.
HOW K.GROUP DAO IS SOLVING AMERICA’S HOUSING CRISIS.
In Houston Texas, K.Group DAO — a Wyoming-registered DAO — is currently housing a maximum of twelve low-income Americans. Its mission is helping America’s low income families and individuals cut rental costs.
Founded by Jermaine Anugwom, K.Group DAO is arguably the world’s first affordable housing DAO and it is registered as an internet collective in Wyoming, America’s first DAO licensing state.
As with many DAOs, it is banded around a shared interest, and its members consist of its token holders, core contributors and people who sympathise with the affordable housing crisis across the world.
“This is the first time that an internet collective is putting the affordable housing crisis on the front-burner and it’s all about building a community with the right set of people”, said Olayimika Oyebanji , K.Group DAO contributor.
Shared Living Spaces
Group DAO’s solution to the housing crisis in the US comes down to the construction of shared living spaces — a multi-room housing model.
“K.Group DAO’s solution is to expand the use of capital, and provide multi room housing for each property . A traditional single residential home would normally house one family. Our Solution would house between 8 to 12 people per property”,K. Group DAO founder Jermaine Anugwom recently told Herald.
“With our initial purchase of 50 homes, this gives over 400–600 low income individuals an affordable place to live. Rental rates range between $650-$850 per month. The rooms are fully furnished, with all utilities including internet and laundry provided at no additional cost”, he added.
America’s housing market is on fire as home affordability becomes a nightmare for millions of its citizens. The high cost of renting or owning a property can be addressed through the implementation of a multi-room housing model which underlines the mission of K.Group DAO as an internet collective.
To join K.Goup DAO on Discord: https://discord.gg/pWVhnGRZ
To donate to K.Group DAO fundraising: https://www.juicebox.money/@kgroupdao