Severe Renter Costs Burden

One-fourth of U.S. renters pay 50% or more of their household income on housing costs.

Severe housing cost burdens by county, 2018-22 (5-yr average)

Percent of renter households paying half or more of household income on housing costs

Source: Census Bureau’s American Community Survey 2018-22.

Lack of affordable housing in the United States has been exacerbated by severe weather events caused by climate change.^1,2,3 Moreover, not enough homes are equipped with the protection and resilience needed to withstand recurring severe weather events, further straining Americans in the wake of disasters (Flood Risk, Home Weatherization).

From 2018 to 2022, at least 1 in 4 renters in several Southern states (Louisiana and Florida: 29%; Mississippi and South Carolina: 26%; West Virginia, Georgia and Alabama: 25%) paid at least half of their total household income toward housing costs. In October 2023, nearly 1 in 3 Americans feared eviction or foreclosure (Likelihood of Eviction/Foreclosure). Having to spend the majority of their income on rent means less money for families to spend on necessities like clothing, food, and utilities, but also for emergency savings.^[4],[5],[6] Many renters in homes unable to weather climate disasters are financially unprepared to find new housing, especially in the South.

Renters are rarely the focus of policy solutions regarding climate resilient housing, as many government incentives target homeowners through tax credits.^[7],[8] For communities to be resilient, it will be critical to include and consider the rental community in building affordable, climate-resilient housing.^{[9],[10],[11]}

1. Ritzler, C. (2023, December 29). Meeting the Climate Crisis with Investments in Affordable Housing. SACE | Southern Alliance for Clean Energy. https://www.cleanenergy.org/blog/meeting-the-climate-crisis-with-investments-in-affordable-housing/

2. Holland, N. (2023, January 18). Rising Sea Levels Are Threatening Affordable Housing. What Can Local Governments Do? Housing Matters; Urban Institute. https://housingmatters.urban.org/articles/rising-sea-levels-are-threatening-affordable-housing-what-can-local-governments-do

3. Fu, S. (2022, November 2). How Cities Can Tackle Both the Affordable Housing and Climate Crises. Housing Matters; Urban Institute. https://housingmatters.urban.org/articles/how-cities-can-tackle-both-affordable-housing-and-climate-crises

4. THE IMPACT OF CLIMATE CHANGE ON AMERICAN HOUSEHOLD FINANCES. (n.d.). U.S. Department of the Treasury. https://home.treasury.gov/system/files/136/Climate_Change_Household_Finances.pdf

5. Shamsuddin, S., & Campbell, C. (2021). Housing Cost Burden, Material Hardship, and Well-Being. Housing Policy Debate. https://doi.org/10.1080/10511482.2021.1882532

6. Airgood-Obrycki, W., Hermann, A., & Wedeen, S. (2021). The Rent Eats First Rental Housing Unaffordability in the US. https://www.jchs.harvard.edu/sites/default/files/research/files/harvard_jchs_rent_eats_first_airgood-obrycki_hermann_wedeen_2021.pdf

7. Dundon, L. A., & Camp, J. S. (2021). Climate justice and home-buyout programs: renters as a forgotten population in managed retreat actions. Journal of Environmental Studies and Sciences, 11(3), 420–433. https://doi.org/10.1007/s13412-021-00691-4

8. Dhanesha, N. (2022, July 18). Climate fixes are all aimed at property owners. What about renters? Vox. https://www.vox.com/the-highlight/23198145/renters-climate-change-solutions

9. Martín, C., An, B., Drew, R., Jakabovics, A., Orlando, A., Patton, N., Moody, J., Donoghoe, M., & Rodnyansky, S. (2023). DISASTERS AND THE RENTAL HOUSING COMMUNITY: SETTING A RESEARCH AND POLICY AGENDA. Brookings Institute. https://www.brookings.edu/wp-content/uploads/2023/09/Disasters-and-the-Rental-Housing_final.pdf

10. AMERICA’S RENTAL HOUSING. (2022). Joint Center for Housing Studies; Harvard University. https://www.jchs.harvard.edu/sites/default/files/reports/files/Harvard_JCHS_Americas_Rental_Housing_2022.pdf

11. Burton, E. (2023, September 20). Addressing Climate Change through Housing Policy: Lessons from the Greater DC Region | Housing Matters. Housing Matters; Urban Institute. https://housingmatters.urban.org/articles/addressing-climate-change-through-housing-policy-lessons-greater-dc-region