The Housing Affordability Crisis: Millions of U.S. Renters Struggling with Soaring Costs

Nearly half of U.S. renters—over 21 million households—are feeling the weight of the housing affordability crisis, with more than 30% of their income going toward paying off their rent, bills like phone bill and electricity, as well as various mortgage payments, and expenses and essentials during the year of 2023. This rising financial strain underscores the growing challenge of securing affordable housing in America today.

The burden is not equally distributed across demographic groups. The data highlights how Black and African American renters are disproportionately affected, with a staggering 56.2%—4.6 million households—paying more than 30% of their income toward housing costs. These figures spotlight the racial disparities that persist in the housing market, where access to affordable rent is becoming increasingly elusive for marginalized communities.

Housing costs have continued to climb, reflecting a broader affordability issue that has worsened between 2022 and 2023. The median cost of rent for American households rose from $1,354 to $1,406. This consistent increase in rent, coupled with stagnant wage growth for many Americans, has left millions grappling with financial instability.

As the affordability crisis continues, more renters are feeling the economic pinch, making it harder for them to save, invest, or pursue homeownership. For many, the dream of buying a home is becoming more distant as rent consumes a larger share of their income. The housing crisis is not just a matter of rising costs—it’s a matter of equity, stability, and opportunity for millions of Americans trying to make ends meet in an increasingly unforgiving housing market.

Without meaningful interventions, this growing affordability gap may only widen, pushing more renters into financial precariousness and deepening the divide between those who can afford housing and those who cannot.