The Rent Eats First: Rental Housing Unaffordability in the US
January 13, 2021 by In the midst of a severe housing affordability housing crisis, nearly a quarter of renter households spend more than half of their income on rent, leaving insufficient funds for other necessities. This study uses a residual income approach to measure housing affordability, revealing that 62% of working-age renter households are burdened by high housing costs. Factors such as having children, being out of the labor force, and being a person of color are associated with higher odds of experiencing these burdens. The report also explores various policy interventions, finding that a combined approach addressing both housing and transportation affordability would have the most significant impact. However, even this approach would only marginally reduce burdens for middle- to higher-income renters, indicating the need for broader income supports and policies.