The housing crisis in the United States has reached a critical point. A recent survey by Redfin reveals that 74% of U.S. residents earning less than $50,000 annually are struggling to afford their mortgage or rent payments. This statistic highlights a growing affordability issue that is putting immense pressure on millions of households.
To cover monthly housing costs, these individuals have had to make significant lifestyle changes. According to the survey, 43% had to eat out at restaurants less often. This might seem like a minor adjustment, but it reflects a broader trend of people cutting back on discretionary spending to make ends meet. Additionally, 36% took no or fewer vacations, illustrating how the financial strain is affecting their ability to relax and take breaks from work. More concerning is that 25% of respondents borrowed money from family or friends, which indicates a reliance on personal networks for financial support.
Even more alarming, 24% of respondents admitted to skipping meals to afford housing payments. This is a stark reminder of the severity of the affordability crisis. When people have to compromise their basic needs to keep a roof over their heads, it underscores the urgent need for intervention and support.
Meanwhile, the situation for renters is equally dire. The share of apartments renting for under $1,000 per month has fallen to 32%, the lowest on record. This decline means that affordable rental options are becoming increasingly scarce, forcing more people into higher-cost housing or into moving to less desirable locations.
One of the most shocking details from the survey is the extent to which people are sacrificing their basic needs. Skipping meals to afford housing is a clear indication that the housing market is failing many Americans. This crisis demands immediate attention and action to prevent further hardship and to ensure that everyone has access to safe and affordable housing.
Here is a chart summarizing the key statistics from the Redfin survey on housing affordability for U.S. residents earning less than $50,000 annually:
Sources:
https://www.redfin.com/news/2024-housing-affordability-survey/