A new report by the non-profit Massachusetts Housing and Shelter Alliance concludes homeless individuals who are provided housing and services ultimately use fewer state services, saving the Commonwealth $9,339 each a year.
The report tracked more than 813 chronically homeless adults statewide, most who lived on the streets or in homeless shelters, for eight years. They were placed in apartments or shared living spaces and given access to comprehensive services, including mental healthcare and substance abuse treatment.
Researchers found, on average, the state’s annual expenses for each homeless individual dropped from more than $33,446 to $24,107 after they were given housing.
“If you walk by someone and even if you’re sympathetic and you say to yourself, ‘oh it’s a shame we don’t have resources to help that person,’ in reality here in Massachusetts, you’re probably already spending thousands and thousands of dollars on that person," said Joe Finn, Housing Alliance executive director. "What housing does is dramatically change the effectiveness of the resources being spent.”
Of those studied, 37 percent moved on to find their own permanent housing, while 31 percent remained in the housing provided by one of the Alliance 100 member homeless agencies. About 14 percent either returned to homelessness or couldn’t be located.