12 Million Households Paying More Than Half Their Income in Rent

In the United States, 12.1 million renter households spend more than half of their gross income on rent and utilities. These "severely cost-burdened" households face impossible tradeoffs every month—between housing and food, housing and healthcare, housing and transportation.

Defining the Crisis

HUD defines housing "cost burden" as spending more than 30% of gross income on housing costs. "Severe cost burden" means spending more than 50%. These are not arbitrary thresholds—they are based on decades of research showing that households spending above these levels face significantly increased risks of food insecurity, deferred medical care, and housing instability.

Of the nation's approximately 44 million renter households:

• 22.4 million (51%) are cost-burdened (paying 30%+ of income)
• 12.1 million (27.5%) are severely cost-burdened (paying 50%+ of income)
• Only 21.6 million (49%) pay an "affordable" share of income on rent

Who Is Most Affected

Severe rent burden falls disproportionately on those who can least afford it:

By Income

By Race

Black and Hispanic renter households experience severe burden at significantly higher rates:

• Black renter households: 33% severely burdened
• Hispanic renter households: 29% severely burdened
• White renter households: 23% severely burdened
• Asian renter households: 25% severely burdened

By Household Type

• Single mothers with children: 41% severely burdened
• Seniors living alone (65+): 37% severely burdened
• Single individuals under 35: 31% severely burdened
• Married couples with children: 15% severely burdened

Where the Burden Is Heaviest

Miami leads the nation, with more than one in three renters spending over half their income on housing. What makes Miami particularly stark is the combination of high rents and relatively low local wages—the metro's median household income for renters is just $42,000.

The Consequences of Severe Burden

Research from Harvard's Joint Center for Housing Studies and other institutions documents the cascading effects:

Food Insecurity

Severely rent-burdened households spend 40% less on food than comparable households with affordable housing. They are 3x more likely to report food insecurity and 2.5x more likely to rely on food banks or SNAP benefits.

Health Impacts

These households are 2x more likely to defer medical care due to cost, 1.5x more likely to skip prescription medications, and experience rates of depression and anxiety 2.3x higher than the general population.

Housing Instability

Households spending more than 50% on rent are at constant risk of losing housing. An unexpected expense of as little as $400—a car repair, a medical bill—can trigger a cascade leading to eviction. Severely burdened households are 5x more likely to experience an eviction filing within a two-year period.

The Pandemic Made It Worse

Between 2019 and 2024, the number of severely rent-burdened households increased by 2.3 million. While pandemic-era aid (expanded unemployment, stimulus payments, the eviction moratorium) provided temporary relief, the subsequent rent surge of 2021-2023 pushed millions more into crisis. National median rents rose 26% between 2020 and 2024, while median renter incomes grew just 14%.

The Federal Response Gap

Only about 1 in 4 households eligible for federal rental assistance actually receives it, due to chronic underfunding. If every eligible household received a Housing Choice Voucher, the cost would be approximately $68 billion per year—compared to the roughly $30 billion currently appropriated. The mortgage interest deduction, by contrast, costs the federal government approximately $30 billion annually, with over 60% of the benefit flowing to households earning more than $100,000.

Solutions at Scale

1. Universal vouchers for ELI households: Guarantee rental assistance for all households earning below 30% of AMI—the most vulnerable population
2. Expand LIHTC production: Increase the Low-Income Housing Tax Credit allocation by 50% to finance more affordable units
3. Preserve existing affordable stock: Protect naturally occurring affordable housing from conversion and demolition
4. Emergency rental assistance infrastructure: Create a permanent federal emergency rental assistance program
5. Increase supply at all levels: Ultimately, only more housing production can moderate rents