California leads the nation in families spending half or more of their income on housing, according to a report from the Orange County Register. With the largest housing market in the United States, it’s not surprising that California has 2.7 million households—14% of the national total of 19.3 million—devoting such a significant portion of their income to housing expenses. Texas follows with 1.7 million households, Florida with 1.6 million, New York with 1.5 million, and Pennsylvania with about 689,000.
Disturbingly, the 2.7 million figure in California represents 20% of the state’s population, which is significantly higher than the national average of 15%. New York and Hawaii also have 19% of families spending half or more of their income on housing. Florida and Nevada come in at 18%, while Texas ranks 14th at 15%.
In contrast, North Dakota and West Virginia have the lowest percentages of families facing severe housing stress, at just 9%. South Dakota follows with 10%, while Iowa and Missouri both stand at 11%.
This data reveals a stark reality: renters are often in a much worse financial situation than homeowners. California has the highest number of tenants paying 50% or more of their income in rent, with 1.63 million renters making up 15% of the national total. Texas has 993,500 renters in this category, New York has 934,800, and Florida has 843,500, while Pennsylvania has 373,100.
Interestingly, California ranks fourth in the percentage of renters paying half or more of their income on rent, at 28%, slightly higher than the national average of 26%. Florida tops the list at 31%, followed by Louisiana at 30% and Nevada at 29%. Texas is ranked 17th with 25%. At the bottom of the list, North Dakota has 16%, followed by Wyoming, South Dakota, and Kansas at 19%.
When we look at homeowners, California again takes the lead, with 1.1 million homeowners spending half or more of their income on housing costs, amounting to 13% of the national total of 8.4 million. Florida comes next with 760,000 homeowners, Texas with 685,700, New York with 537,500, and Illinois with 324,300.
Additionally, California and Hawaii have the highest rates of homeowners under this financial strain, at 14%, compared to the national average of 10%. New York and Florida each have 13%, while New Jersey has 12%, and Texas ranks 15th with 10%. North Dakota has the lowest percentage at 5%, followed by West Virginia at 6%.
