Here are the states and metros where rent is most 'unaffordable'
Renters across America are payingan "unaffordable" amount of their salary to rent, government data show.
There's a technical term for this. Households are "cost burdened" if 30% or more of their income goes to rent, mortgages or other housing costs,according to the U.S. Department of Housing and Urban Development.
Renters who are cost burdended can struggle to pay for food, clothing, transportation and medical care.
The majority of rentersin most of America's states and 20 biggestcities and counties are "cost burdened" under the government's definition, a ConsumerAffairs review finds.
More than half of renters in 34 states, 16 of the most-populous cities and15 of the most-populous counties paid30% or more of their income to rent in 2023, according to a ConsumerAffairs review of thelatest U.S. Census's American Community Survey published in September.
The five states with thehighest percentageof renters paying 30% or more of their income to rent were:
- Florida (60.4%)
- California (57.2%)
- Hawaii (56.2%)
- Michigan (55.9%)
- Mississippi (55.5%)
The five states with thelowest percentageof renters paying 30% or more of their income to rent were:
- Wyoming (39.9%)
- North Dakota (40.2%)
- Nebraska (44.9%)
- Kansas (45.4%)
- Montana (45.7%)
The five cities the highest percentage of renters paying 30% or more of their income to rent were:
- Fort Worth, Texas (58.8%)
- Los Angeles, California (58.7%)
- Jacksonville, Florida (58%)
- San Diego, California (55.3%)
- Phoenix, Arizona (54.8%)
The five cities thelowest percentageof renters paying 30% or more of their income to rent were:
- San Francisco, California (41%)
- Seattle, Washington (43%)
- Washington D.C. (44.7%)
- Chicago, Illinois (46.1%)
- Denver, Colorado (48.8%)
The five countiesthe highestpercentageof renters paying 30% or more of their income to rent were:
- Broward County, Florida (66.6%)
- Miami-Dade County, Florida (64.7%)
- Riverside County, California (60.5%)
- San Bernardino County, California (59.3%)
- Clark County, Nevada (59.2%)
The five countiesthelowest percentageof renters paying 30% or more of their income to rent were:
- Santa Clara County, California (46.6%)
- King County, Washington (47.1%)
- Cook County, Illinois (47.1%)
- Middlesex County, Massachusetts (49.3%)
- Kings County, New York (49.5%)
Are more people spending more of their income onrent?
Rent payments that take up too much of a salary can make it difficult to save, pay off debt and even buy necessities.
Even so, the trend has kept steady: Nearly half of renters have beenpaying 30% or more of their income to rent since 2016, despite a brief drop to around 47% in 2019.
And in previous years, around 53% of renters were paying 30% or more of their income in 2010 and 2011.
Most states saw no significant changes in renters' incomes going to rent in 2023, but six did have declines:Illinois, Kansas, Minnesota, New Mexico, New York and West Virginia, U.S. Census economist Jacob Fabina said in an article.
"The fact that the gross rent share of income did not rise nationally and in most states despite significant increases in rental costs could be due to higher renters incomes or to an increase in higher-income households joining the population of renters," Fabina said.
Photo Credit: Consumer Affairs News Department Images
Posted: 2024-09-25 10:59:21
