Strained renters

Many renters in the US are facing affordability problems. When the Joint Center for Housing Studies of Harvard University estimates the extent of housing affordability problems, they typically start by measuring the number and share of households paying more than 30% of their income for shelter. This widely used metric is based on the notion that, when spending on housing exceeds the 30% threshold, people don’t have enough money left over to pay for life’s other necessities. In 2021, 47% of US households that were renters paid 30% or more of their income on rent. That is up from 45% in 2019. In other words, rents have increased more than household incomes for those who rent. A sizeable portion of US households spend 50% or more of their income on rent: 24% in 2021, an increase from 2019’s 22%. While some receive rent support from state or local government, resulting in lower net rents as a percentage of household income, the US Census Bureau unfortunately has not provided that data.