The number of working homeless Americans is on the rise as soaring rents and high inflation make it impossible for many to secure stable housing. Despite holding steady jobs, individuals and families are forced to live in cars, shelters, or on the streets due to a severe shortage of affordable housing.
Despite a growing economy and rising wages, the United States is facing an alarming increase in homelessness, with the number of individuals experiencing homelessness on any given night jumping by 12% in 2023. This surge is particularly pronounced among working Americans, who are disproportionately affected by the lack of affordable housing.
The Washington Post reports that local shelters and volunteer groups are witnessing a growing influx of individuals with steady employment seeking assistance. Tulsa's outreach organization cites the lack of affordable housing as the primary reason for this increase.
The Plight of Working Homeless: Rising Costs and Lack of Affordable Housing Drive Crisis
For years, rapidly escalating rental costs and a scarcity of affordable units have created a situation where even a strong job market and wage growth cannot compensate for the financial strains of inflation.
According to the U.S. Department of Housing and Urban Development (HUD), an estimated 653,104 people experienced homelessness on a single night in 2023, the highest number since the annual point-in-time survey began in 2007.
The Plight of Working Homeless: Rising Costs and Lack of Affordable Housing Drive Crisis
Individuals interviewed by the Washington Post shared harrowing stories of living in vehicles, temporary accommodations, or with friends while being excluded from shelters. Some have resorted to sleeping in public parks.
Many of those struggling to secure housing reported being caught in an impossible predicament. They earn too much to qualify for government assistance like food stamps but not enough to afford the steep costs of housing, including first and last month's rent and security deposits.
The Plight of Working Homeless: Rising Costs and Lack of Affordable Housing Drive Crisis
Aaron Reed, a 22-year-old Amazon employee who earns $21 per hour, has been living in his mother's Hyundai SUV with his mother and their dog. Despite his income, Reed acknowledges the additional expenses associated with homelessness, such as purchasing bottled water due to the lack of running water in their vehicle.
"Every day, it's like, 'Which bills can we actually pay?'" Reed said. "We're behind on our car payments, then we've got gas, insurance, phones."
The Plight of Working Homeless: Rising Costs and Lack of Affordable Housing Drive Crisis
A recent report by the National Low Income Housing Coalition revealed that a $20-per-hour wage could only afford a two-bedroom apartment in six states, despite the fact that many states have adopted a $15-per-hour minimum wage.
Marie, a 28-year-old hotel and casino supervisor, expressed the financial challenges she faces despite earning $15 per hour. "The cost of living is high, and $15 an hour barely covers rent and utilities," she said. "With everything going up ... we cannot save to even get a place to rent."
The problem of homelessness continues to plague major cities across the country. Some Democratic lawmakers have proposed measures to address the issue by cracking down on homeless encampments, following a recent Supreme Court ruling.
The combination of rising costs of living and a severe shortage of affordable housing has created a dire situation for working Americans, who are increasingly becoming part of the growing population of homeless individuals. Urgent action is needed to address this multifaceted crisis, ensuring that all members of our society have access to shelter and dignity.
