Solving Arizona's Senior Housing Crisis: A Guide to Affordable Housing, Practical Resources, and the Power of Tax Credits

By David Walter, Founder of the Kowalian Foundation and Co-founder of ARD Strategies for Seniors

The Growing Crisis for Seniors in Arizona

Arizona is facing an escalating senior housing crisis. The population of individuals aged 65 and over is expected to double by 2030, placing enormous pressure on the state’s already strained housing market. Rising property values, climbing rents, and a limited supply of accessible homes have made it difficult for seniors, many of whom live on fixed incomes, to find affordable, stable housing. Over half of Arizona’s seniors now spend more than 30% of their income on housing, putting them at risk of housing instability or even homelessness.

But this crisis isn't just about money. Seniors facing housing insecurity often struggle with depression, anxiety, and declining health. Without stable housing, access to healthcare, community services, and family support becomes harder. In short, the housing crisis threatens the overall well-being of Arizona’s aging population.

Why Affordable Senior Housing Matters

As we age, the idea of "home" takes on greater importance. It’s not just a place to live, but a foundation for independence, safety, and connection. With one in five Americans projected to be over 65 by 2050, affordable housing is quickly becoming a cornerstone issue in senior care. Fortunately, Arizona has tools and programs that, when used effectively, can ease the crisis.

Affordable Housing Options Available to Seniors

1. Government-Subsidized Housing

• Section 202 Supportive Housing: This HUD program caps rent at 30% of income and often includes support services like meals and transportation.

• Section 8 (Housing Choice Vouchers): Provides rent assistance for private housing, making it affordable for low-income seniors.

• Public Housing: Managed by local housing authorities, this offers reduced-rent housing, sometimes in senior-specific developments.

• USDA Rural Housing (Sections 515 & 521): Supports affordable housing development in rural areas.

2. Nonprofit and Faith-Based Housing

Nonprofit organizations across Arizona offer affordable living options tailored for seniors, from independent living to assisted care, often at reduced rates thanks to grants and donations.

3. Low-Income Housing Tax Credit (LIHTC) Properties

LIHTC encourages developers to build affordable housing in exchange for tax incentives. Many of these communities are senior-friendly, with accessible layouts and on-site services. Rent is capped based on area median income, helping to ensure long-term affordability.

How LIHTC is Helping in Arizona

Arizona’s State LIHTC program was launched in 2021 and has already helped create over 1,500 affordable homes. Here’s how it works:

• Developers receive tax credits in exchange for building and maintaining affordable housing for at least 30 years.

• Credits are only issued after construction is complete and units are occupied, ensuring accountability.

• The program especially targets rural areas and underserved neighborhoods.

Examples include the renovation of Globe’s Hill Street School into 64 senior apartments and View Point II in Prescott Valley, which will offer 72 more senior units.

Economic benefits include:

• $746 million in economic activity

• 4,558 construction jobs

• $318 million in wages

• 464 permanent jobs once homes are occupied

The Role of the Kowalian Foundation

The Kowalian Foundation, a non-profit corporation, is stepping up to address the senior housing crisis head-on. This designation will allow the foundation to partner with government programs and private donors to develop affordable housing projects for Arizona seniors using LIHTC funding.

But the Foundation’s work isn’t limited to construction. We aim to build communities, not just buildings. That means integrating healthcare access, social support, transportation, and community engagement into every property we help create. The Kowalian Foundation is committed to building sustainable, secure homes where seniors can age in place with dignity.

Navigating the Senior Housing Market: Practical Tips

Navigating senior housing can be overwhelming. Here are steps that can help:

• Start early: Waitlists are long. Begin your search well before a move is necessary.

• Explore all options: Apply for multiple programs including HUD, Section 8, and LIHTC properties.

• Use housing counselors: They can guide you through applications and eligibility.

• Visit in person: Assess safety, services, and community culture firsthand.

• Understand lease terms: Know your rights and the facility’s policies.

• Consider shared living: Roommates or co-housing can offer cost savings and social benefits.

• Use professionals: Organizations like ARD Strategies specialize in helping families find suitable senior housing.

What to Look For in Senior Housing

When choosing housing, consider:

• Affordability: Calculate total monthly costs including utilities and services.

• Location: Stay near essential services and loved ones.

• Amenities: Prioritize what matters most to your lifestyle.

• Community feel: A connected environment can boost well-being.

• Safety: Ensure there are emergency systems and secure entrances.

Final Thoughts

Arizona’s housing crisis isn’t just a policy issue. It’s a human issue. Seniors deserve more than just a place to live — they deserve communities that support them. Through smart, proven programs like LIHTC and the mission-driven work of organizations like the Kowalian Foundation, we can meet the moment.

Solutions exist. The question now is: will we act in time?

About the Author
David Walter is the Founder of the Kowalian Foundation and Co-founder of ARD Strategies for Seniors. He specializes in helping families navigate the senior housing landscape and is a regular contributor to Silver Linings Magazine. To learn more or request assistance finding affordable housing, email him at David@ARDStrategies.com