The National Low Income Housing Coalition says Dallas has the second-most severe “affordable” housing shortage for extremely low-income renters in the country.
The Coalition defines extremely low income as less than 31% of the area’s median income.
The group published its findings in a study titled The Gap: A Shortage of Affordable Homes. Three of the top five cities with the biggest shortage nationwide are in Texas.
Las Vegas had the most severe shortage in the country, with just 13 “affordable” and available rental homes for every 100 extremely low-income renter households. Dallas was close behind with 14, while Austin, San Diego, and Houston were all tied for the third most severe “affordable” housing shortage, with 16.
Last year, a survey from the University of Houston Hobby School of Public Affairs and Texas Southern University Texas Trends found that nine out of 10 Texas residents consider housing affordability a problem. Almost a quarter of the nearly seven million homeowners in the state are deemed housing-constrained or cost-burdened, meaning they spend more than 30% of their income on housing costs.
For severely cost-burdened households, housing costs comprise more than 50% of their income. According to the study, 85% of extremely low-income renters in the top five cities experience severe housing cost burdens.
Dallas’ situation has worsened since the previous report, with the number of “affordable” and available homes dropping to 14 from 17 per 100 extremely low-income renters the year prior.
The authors point to a gap between what the lowest-income strata can pay and the expenses needed to cover housing.
“The rents that the lowest-income households can afford to pay typically do not cover the development and operating costs of new housing. New rental housing, therefore, is largely targeted at the higher-price end of the market,” reads the report.
On the other end of the ranking, Pittsburgh had the least severe shortage of “affordable” and available rental homes, with 52 for every 100 extremely low-income renters.
However, the report states that “no state has an adequate supply of affordable rental housing for the lowest-income renters.”