CAMBRIDGE, Mass. (6/25/15)--Much has been written about the lack of affordable rental housing for low-income families, but a recent report from Harvard University’s Joint Center for Housing Studies has found that one in five middle-class households has trouble making monthly rent as well.
Harvard’s State of the Nation’s Housing 2015 report revealed that a large portion of the U.S. population remains “housing cost burdened,” meaning that they put at least 30% of what they earn each month toward rent.
But that cost burden continues to climb the economic ladder.
While more than half of homeowners and three-quarters of renters with incomes between $15,000 and $30,000 are cost burdened, nearly 40% of homeowners and 45% of renters making between $30,000 and $44,999 are cost burdened as well.
Meanwhile, middle-income households are facing steep cost pressures, particularly in expensive cities, the report said, as 48% of households with incomes between $45,000 and $75,000 were cost burdened in the 10 priciest metros, compared with 34% nationwide.
“Renters of all incomes are having to spend more of their incomes on their rents,” said Daniel McCue, senior research associated at the Joint Center for Housing Study of Harvard University. “In fact, cost burdens are becoming increasingly more common for higher-income renters.”