Aerial view of Southwest Harbor, Maine, incorporated 1905, showing the harbor, moored boats and village shoreline

Town of Southwest Harbor · Environmental Workgroup

Housing Working Group

Collecting data and exploring options to increase the supply of year-round workforce and affordable housing in Southwest Harbor.

What the Housing Working Group is doing

At the introductory Housing Working Group meeting, we identified three main goals:

  1. Revisit the housing recommendations from the 2010 and 2022 Comprehensive Plans
  2. Collect data and inventory the current SWH housing supply
  3. Gather information from other towns on what has worked

The top priority from the 2022 Comp Plan revision and the direction from the Select Board was to collect information to support future policy discussions and action. Once we know what we have, we can explore widely for possible action to increase the supply of year-round workforce and affordable housing.


Two types of housing need

Workforce

Workforce (Middle Income) Housing

Rental or homeownership opportunities for middle-income households where the rental fee or mortgage cost is not more than 30% of gross monthly household income.

Because the cost of housing on the coast is significantly higher than inland, Workforce Housing here refers to households earning 100–150% of the state household median income.

Affordable

Affordable Housing

As defined by the Maine State Housing Authority: rentals limited to households earning 80% or less of state median income, and home ownership to those earning 120% or less of state median household income.

$93,307
2024 Maine median household income
Both definitions refer to year-round housing unless specifically designated for seasonal workers. This figure has increased significantly since 2020.

Housing inventory in progress

Year-Round Housing

Zone A near complete

We are documenting year-round housing and determining whether each unit is owner-occupied or rented. Criteria include:

  • Owner address in SWH
  • Homestead exemption on record
  • Voter registration at that address
  • Field observation (plowed driveways, shoveled paths in winter)
  • Conversations with local rental agents

If a registered voter at an address is not the owner, the property is noted as rented. Zone B is larger, more challenging, and in progress.

Seasonal Housing

Just starting

Seasonal housing is complex and includes three distinct categories that should probably be treated differently in any future regulation:

1. Short-term rentals (under 30 days)

Airbnb and VRBO listings. Hard to quantify: listings may include hotel rooms, purpose-built tourist accommodations, and places listed as “near” SWH. They never include street addresses.

2. Transient tourist accommodations

Hotels, inns, cabins, campgrounds, and other purpose-built rooms for summer visitors. These have existed since the Rusticators first came to SWH.

3. Summer residents

Property owners who pay taxes, use their property mainly for family and friends, and may rent by the week or month when not here. Any future short-term rental regulation would likely not apply to these traditional summer residents, who have been part of this community since the mid-19th century.

Employee Housing

Inventory beginning

Both seasonal and year-round employee housing is another facet of housing availability. We have the beginnings of a list that should grow as we continue the inventory work.

Covenant & Public Housing

Documented

SWH currently has 4 houses under affordability covenants that restrict purchase cost and/or resale value and include income qualifications for homeowners.

Separately, SWH has 71 public housing apartments with income limits for occupants. These are distinct from covenant-restricted housing.

This work depends on community input

If you have information about housing availability, rental properties, or employee housing in Southwest Harbor, the working group would like to hear from you.