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Lower income and cost-burdened households are less likely to become homeowners, as it’s difficult to save enough for a downpayment.

Unfortunately, this creates a cycle where poor families are stuck in the rental market, struggling with increasing rents and From 2007 to 2011, incomes fell sharply while rents did not, causing an increase in the share of cost-burdened renters.

During the recession, some moderately cost-burdened renters fell into the severely burdened category due to a job loss or pay cut.

While the moderately cost-burdened population share remained more stable, the composition of this group changed, as moderately burdened renters became severely burdened, and renters who were not cost burdened before the recession became moderately cost burdened.

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Despite the decrease in the cost burdened share of renter population, affordability remains a major concern.

About half of renters spent 30 percent or more of their income on rent, and a staggering 25 percent of renters spend 50 percent or more of their income on rent.

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