Full Report in PDF
Since 1995, housing prices have boomed. At the same time, rents have risen to their highest levels in decades. In a weak labor market, many renters spend more of their incomes on paying their rents. This has put many renters, who are disproportionately lower income families, in a bind. Many renters have a harder time moving into their own homes and must spend a growing share of their incomes on rising rents. Poor and minority renters in particular also must cope with worsening public education and transportation systems. A closer look at the data shows the following:
| • |
Since 1995, when the housing boom began inflation adjusted rents have risen to their highest level in thirty years.
|
| • |
Rising rents come at a time of lower inflation-adjusted renter incomes. The typical income for renter families fell by 8.4 percent from 1995 to 2003.
|
| • |
Minorities face added obstacles in the rental market due to persistent housing discrimination.
|
| • |
Mobility from renting to owning has slowed. The share of owners who were renters in the previous year declined by 13 percent from 1995 to 2003.
|
| • |
Renters live in worse neighborhoods and lower-quality homes than owners. Renters have also experienced worsening public education, and many renters, especially African-Americans and poor families, have seen higher costs associated with transportation. The deteriorations for renters were worse than for homeowners. |
Full Report in PDF
j