And we need to make it easier to build and run something other than single-family dwellings. Boarding houses used to be a common fixture in the US: think a cross between a dorm and a military barracks.
Give the residents decently secured lockers and some private security with actual teeth[1], not to mention some counseling, and the folks that land here might actually stand a chance at rebuilding their lives.
[1] As in "Sell meth here, and we will literally chuck you out the door like yesterday's garbage. Lawsuits don't mean shit to us."