Permanent Supportive Housing With Housing First: Findings From a Community Guide Systematic Economic Review

Area of Science:

• Public Health
• Health Economics
• Social Policy

Background:

• Chronic homelessness presents a substantial economic burden in the U.S., estimated at $3.4 billion annually.
• Permanent Supportive Housing, utilizing a Housing First approach, has emerged as an effective intervention strategy.

Purpose of the Study:

• To evaluate the economic cost-benefit of Housing First programs.
• To determine the financial return on investment for Housing First initiatives.

Main Methods:

• A systematic review of 20 evaluation studies (17 U.S., 3 Canada) published up to November 2019.
• Analysis of intervention costs and total benefits per person per year, with monetary values in 2019 U.S. dollars.

Main Results:

• U.S. studies showed a median intervention cost of $16,479 per person per year.
• Median total benefits in U.S. studies reached $18,247 per person per year, resulting in a benefit-to-cost ratio of 1.80:1.
• Overall, studies indicated a benefit-to-cost ratio of 1.06:1.

Conclusions:

• Housing First programs demonstrate a positive economic return in the U.S., with benefits exceeding costs.
• Insufficient data from Canadian studies precluded a definitive cost-benefit analysis in that context.