Why Affordable Housing is Needed Now More Than Ever
As 60 percent of Americans live paycheck to paycheck, the call for affordable housing grows louder.
If you’ve been grocery shopping over the past year, you’ve probably already heard about the prices being “sky high”. But the rising prices can be felt everywhere, and the average American is struggling to keep up.
According to a survey by Debt.com, 50% of Americans were reported to be living paycheck to paycheck throughout 2022 and 2023 despite budgeting, as of this year that number is now 60%. Representing a 10% increase in two years.
A similar study by Forbes in 2023 found that 70% of people either identified as living paycheck to paycheck or reported that their income doesn’t match their standard expenses.
This financial strain being experienced by many Americans is only being exacerbated by the current housing crisis. A January study by the Harvard Joint Center for Housing Studies found that more than half of renters nationwide were spending more than 30% of their income on rent in 2022. Affordable housing with rents under $600 dropped to 7.2 million that year, 2.1 fewer than a decade prior. Research from Princeton University’s Eviction Lab found that 40% or 2.9 percent of people facing eviction are children, causing substantial impacts on a child’s mental health and development.
The rise of financial instability has led to a 12% increase in homelessness with over 600,000 people in the United States being unhoused. An increase of over 70,000 from a year prior, due in part to rising rents and a decrease in pandemic assistance for COVID-19. Findings from United Way showed that there are currently 28 vacant homes for every unhoused person in the U.S., with 16 million homes currently sitting vacant across the country. The Supreme Court’s June ruling of City of Grants Pass v. Johnson declared that cities and counties nationwide can issue civil and criminal penalties against unhoused people sleeping outside, effectively making being homeless illegal.
Following the ruling, California Gov. Gavin Newsom issued a controversial order that required state agencies to start dismantling homeless encampments throughout the state.
“This executive order directs state agencies to move urgently to address dangerous encampments while supporting and assisting the individuals living in them — and provides guidance for cities and counties to do the same,” Newson said in a press release.
“There are simply no more excuses. It’s time for everyone to do their part.”
According to a 2023 report from the U.S. Department of Housing and Urban Development, California has the largest unhoused population with over 180,000 people. Referencing the rise of homelessness nationwide.
However, instead of clearing out encampments and simply displacing people repeatedly, there is a simple solution to this problem. Providing more affordable housing.
Studies from the University of California, San Francisco (UCSF) highlight that the excessive cost of housing is a primary factor contributing to homelessness in any given area. Currently, the United States faces a national shortage of over 7 million affordable homes for more than 10 million low-income families. Efforts to address this crisis are often hindered by restrictive zoning laws that favor single-family homes (SFHs) on most zoned land, making it difficult to build denser housing options like apartments and townhomes.
A Bloomberg study revealed that while cities like Minneapolis have taken steps to ban single-family zoning, this measure alone is insufficient. The study emphasizes the need for additional strategies, such as eliminating parking requirements, permitting upzoning in low-density neighborhoods, and encouraging mixed-use development, all of which are crucial for expanding affordable housing availability.
In Los Angeles, for instance, the city’s decision to ban parking minimums has led to the construction of more homes and high-density apartment buildings, helping to revitalize neglected neighborhoods. Another promising strategy is transit-oriented development (TOD), which focuses on building more housing near public transportation. By increasing the housing stock near transit, TOD can reduce living expenses for low-income families by cutting transportation and travel costs. This is especially important since housing near public transit and city centers tends to be expensive, often forcing people to live far from accessible transit. A notable example of TOD is the 2021 partnership between Amazon and the Washington Metropolitan Area Transit Authority (WMATA), which aimed to develop 1,000 affordable units at D.C. Metro stations.
To fight the housing crisis, Massachusetts Gov. Maura Healy announced a $4 billion bill in October 2023, aimed at creating new homes and making housing more affordable. The bill, which was later reworked into a $6.2 billion housing bill in June 2024, sets aside funding for revitalizing the 40,000 public housing units that exist in the state, with a focus on prioritizing environmental sustainability and improving drinking water that is contaminated with forever chemicals per- and poly-fluoroalkyl substances. The bill is set to be the largest housing investment in the state’s history.
On a federal level, congressional lawmakers are working towards a bill that would award tax credits to developers who agree to build units for low-income renters. Supporters of the bill have said that could build up to 200,000 additional homes.
As the housing crisis deepens, the need for affordable housing has never been more critical. The combination of rising living costs, stagnant wages, and restrictive zoning laws has left millions of Americans struggling to keep a roof over their heads. While some cities and states have begun to take action, such as Los Angeles’ ban on parking minimums and Massachusetts’ historic $6.2 billion housing bill, much more needs to be done to address this nationwide crisis.
Building more affordable housing is not just about providing shelter—it's about creating stable communities, reducing homelessness, and ensuring that everyone has access to safe, affordable living conditions. The solutions are within reach, but they require bold action from policymakers, cooperation across all levels of government, and collective action from the people.
As we move forward, we must continue to push for policies and changes that make housing more affordable, equitable, and accessible to all.