By Tori Lyon, CEO — Jericho Project 

When looking at the issue of homelessness in the United States, we are not looking at the failure of the individual but at a failure of systems. Homelessness is at an all-time high in our country, driven largely by the affordability crisis that began in the 1970s and accelerated by the recession of 2008-2012, with impacts we have been experiencing over the past few decades. 

But the reasons for homelessness are far more complex than any one economic crisis. The skyrocketing costs of housing, lack of mental health resources, addiction, trauma, and generational poverty all play a significant role in the homelessness epidemic. 

With all the proposed solutions to solving homelessness that have been batted around in Congress and among non-profits, one stands out: supportive housing. Supportive housing combines safe, affordable, permanent housing with services such as mental health counseling, substance abuse treatment, and employment support to not only support people seeking to rebuild their lives but also drastically reduce the societal costs associated with emergency care, policing, and temporary shelters.

For the unhoused population, supportive housing restores dignity and agency for both individuals and the communities in which they live. 

Empowering people and reducing costs 

Supportive housing is built around a simple premise: having a stable place to live allows people to address the very issues that may have led them to be unhoused in the first place. Repeated studies show that a supportive housing approach can save cities millions of dollars over time.

According to a national cost analysis, supportive housing costs about $18,000 per person annually; however, this amount is far less than the burden on taxpayers of covering hospitalizations, jail time, or shelter stays, which can often run between $30,000 and $50,000 per year. These numbers make the economic argument for supportive housing clear. By breaking the ongoing cycle of crisis living, supportive housing reduces strain on shelters, law enforcement, and emergency services, creating long-term community savings. 

One example of supportive housing done well, New York’s “Housing First” initiative, illustrates the economic benefits of this approach perfectly. A review of the initiative found that “70-90% of Housing First participants remain stably housed two to three years after receiving services, compared to 30-50% of participants in traditional ‘housing ready’ or ‘treatment first’ programs.” The initiative was also found to be effective in reducing veteran homelessness in New York by 90% between 2011 and 2022.

Beyond the numbers, supportive housing also has a human impact that cannot be discounted. People who once feared the outcome of every night and were navigating a web of complex resources and options can finally get a good night’s sleep and plan for the future under a supportive housing platform.

Keeping services person-centered 

While it can be easy to view people experiencing homelessness as a monolith, each person’s story is unique, and their needs are just as singular. Supportive housing residences succeed not because of the homes themselves, but because of the wraparound services that have been designed for each person’s specific needs. Supportive housing allows people to find purpose in their lives again, but with all the support they never had in the past. 

The person-centered makeup of supportive housing centers on the root causes of the homelessness crisis, from untreated depression to physical illness and a lack of comprehensive healthcare coverage. The approach is both coordinated and compassionate. 

In practice, the supportive housing approach involves case managers working alongside residents to coordinate services and ongoing needs such as employment support, direct mental health services, and access to public benefits. The key to the success of this model is flexibility and recognizing that homelessness is not a single problem with a single solution.

The outcomes associated with supportive housing can be incredible when services are consistent and remain readily available. Studies show retention rates averaging around 80%, even among residents who may have deeply ingrained substance abuse issues or mental health concerns. The stability and consistency offered through supportive housing can lead to better health outcomes, a reduced dependence on emergency services, and a stronger community overall, as previously unhoused people rejoin society in earnest. 

A smart investment to strengthen families and communities 

The supportive housing initiatives that are beginning nationwide do more than help people experiencing homelessness. They can also assist entire families and lead them away from generational homelessness and poverty. 

Families that experience homelessness often face seemingly insurmountable barriers, from displacement trauma to dealing with school enrollment or access to healthcare. Housing instability in families can disrupt children’s education, lead to long-term unemployment, and create generational patterns that are difficult to break. 

Supportive housing can create built-in community support for families experiencing homelessness. When housing is secure, parents can focus on their children’s education and healthcare needs. Over time, these families can become stable enough to be seen as positive contributors to their communities, reducing the overall negative societal impact of homelessness. 

A smarter option for the future 

Despite its obvious benefits, supportive housing remains largely unsupported and underfunded in many regions. Policymakers cite a lack of community support or fear of upfront costs as their reasons to shy away from supporting initiatives. 

Yet, as the affordable housing crisis deepens nationwide, supportive housing deserves another look. Local organizations and federal coalitions have echoed this call for reconsideration. Many groups recognize that supportive housing is about more than providing a place to live; it is about restoring hope and dignity to people who deserve a chance to fully participate in society. 

Supportive housing within communities sends a powerful message that compassion and practicality can work hand in hand. By seeing housing as a human right, the supportive housing platform helps create a system that not only saves money overall but also saves lives.

— Tori Lyon is the Chief Executive Officer of Jericho Project, a New York City–based nonprofit dedicated to ending homelessness through permanent supportive housing and comprehensive, person-centered services. She has been with the organization since 1996, joining as Director of Development before advancing to Associate Executive Director in 1999, Executive Director in 2005, and CEO in 2016. With more than 30 years of experience in the supportive housing sector, Lyon has led Jericho’s strategic planning, fundraising, housing and program development, and executive management. Under her leadership, the organization has developed more than 600 units of permanent supportive housing, launched a nationally recognized Veterans Initiative, and significantly expanded its reach—more than quadrupling the number of people served since 2010. Prior to joining Jericho Project, Lyon served as Grants Manager at Bailey House, a supportive housing organization serving individuals living with HIV/AIDS. Her career has been defined by a commitment to evidence-based solutions that address homelessness at its roots while delivering measurable, long-term outcomes for individuals and families. Lyon holds a Bachelor of Science degree from the Wharton School of Business at the University of Pennsylvania and is an active voice in coalitions and initiatives advancing supportive and affordable housing policy.

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