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While overall housing remains expensive, many Americans continue to try and combat affordability hurdles amid inflated housing costs and historically-high mortgage rates. Meanwhile, the high cost of housing isn’t just relegated to homeowners, with renters also feeling the sting of rising prices.
A new LendingTree study revealed which states are home to the most people behind on rent [2], as well as the states with the most people living rent-free.
A LendingTree analysis of U.S. Census Bureau Household Pulse Survey [3] data found that more than eight million U.S. adults live in a household not caught up on rent payments. While millions of people are behind on their rent, about 3.6 million adults are living in households not being charged rent.
Key Findings:
- 8,070,524 people ages 18 or older in the U.S. aren’t caught up on rent payments. Put another way, 13.17% of the nation’s adult renters live in a household that charges them rent and are behind on payment.
- Nationwide, 3,560,345 adults — 5.81% of adult renters — live in a household that doesn’t pay rent. People in these types of households don’t own their home free and clear or with a mortgage, nor do they live with someone who does. Instead, they’re occupying some type of rental housing unit where rent isn’t paid or contracted. For example, people in these types of households could be caretakers provided their home rent-free in exchange for their services. In other words, people in these types of households aren’t living rent-free because they’re behind on rent; rather, they’re living rent-free because their household isn’t being charged rent.
- The states with the largest share of adults behind on rent payments are New York, Nevada and Louisiana. Across these three states, an average of 19.72% of adult renters are living in households behind on rent payments. In the states with the smallest share of renters not caught up on rent — Kansas, Nebraska and Arkansas — that figure is 6.23%.
- Mississippi, West Virginia and Alaska are the states where the largest share of people live rent-free. In these three states, an average of 13.21% of adults live in renter-occupied households that aren’t paying rent. That’s more than 11 percentage points higher than in the states with the smallest share of renters living rent-free — Colorado, Indiana and Utah — where the average is 1.92%.
- Over the past year, 53.03% of renters across the U.S. saw their rent increase, while 36.91% saw no increase and 1.75% saw a decline. The majority of those who saw their rent payments jump reported increases between $100 and $249 a month.
States with the largest share of people behind on rent payments
No. 1: New York
- Adult population in renter-occupied households: 5,191,102
- Share of adults in renter-occupied households not caught up on rent: 20.52%
- Share of adults in renter-occupied households caught up on rent: 75.81%
- Share of adults in renter-occupied households occupied without rent: 2.73%
No. 2: Nevada
- Adult population in renter-occupied households: 768,883
- Share of adults in renter-occupied households not caught up on rent: 19.68%
- Share of adults in renter-occupied households caught up on rent: 74.99%
- Share of adults in renter-occupied households occupied without rent: 3.71%
No. 3: Louisiana
- Adult population in renter-occupied households: 525,160
- Share of adults in renter-occupied households not caught up on rent: 18.97%
- Share of adults in renter-occupied households caught up on rent: 68.89%
- Share of adults in renter-occupied households occupied without rent: 10.18%
States with the smallest share of people behind on rent payments
No. 1: Kansas
- Adult population in renter-occupied households: 442,806
- Share of adults in renter-occupied households not caught up on rent: 6.11%
- Share of adults in renter-occupied households caught up on rent: 88.37%
- Share of adults in renter-occupied households occupied without rent: 3.88%
No. 2: Nebraska
- Adult population in renter-occupied households: 305,917
- Share of adults in renter-occupied households not caught up on rent: 6.18%
- Share of adults in renter-occupied households caught up on rent: 88.26%
- Share of adults in renter-occupied households occupied without rent: 5.56%
No. 3: Arkansas
- Adult population in renter-occupied households: 509,017
- Share of adults in renter-occupied households not caught up on rent: 6.39%
- Share of adults in renter-occupied households caught up on rent: 79.80%
- Share of adults in renter-occupied households occupied without rent: 11.53%
States where the largest share of people live rent-free
No. 1: Mississippi
- Adult population in renter-occupied households: 511,819
- Share of adults in renter-occupied households occupied without rent: 14.90%
- Share of adults in renter-occupied households caught up on rent: 66.63%
- Share of adults in renter-occupied households not caught up on rent: 16.89%
No. 2: West Virginia
- Adult population in renter-occupied households: 188,382
- Share of adults in renter-occupied households occupied without rent: 12.76%
- Share of adults in renter-occupied households caught up on rent: 73.17%
- Share of adults in renter-occupied households not caught up on rent: 13.77%
No. 3: Alaska
- Adult population in renter-occupied households: 128,960
- Share of adults in renter-occupied households occupied without rent: 11.96%
- Share of adults in renter-occupied households caught up on rent: 75.87%
- Share of adults in renter-occupied households not caught up on rent: 11.84%
States where the smallest share of people live rent-free
No. 1: Colorado
- Adult population in renter-occupied households: 1,124,060
- Share of adults in renter-occupied households occupied without rent: 1.63%
- Share of adults in renter-occupied households caught up on rent: 86.89%
- Share of adults in renter-occupied households not caught up on rent: 10.23%
No. 2: Indiana
- Adult population in renter-occupied households: 1,022,897
- Share of adults in renter-occupied households occupied without rent: 2.02%
- Share of adults in renter-occupied households caught up on rent: 89.11%
- Share of adults in renter-occupied households not caught up on rent: 8.39%
No. 3: Utah
- Adult population in renter-occupied households: 591,183
- Share of adults in renter-occupied households occupied without rent: 2.11%
- Share of adults in renter-occupied households caught up on rent: 85.43%
- Share of adults in renter-occupied households not caught up on rent: 12.18%
In the same way home prices have risen since the start of the pandemic, so have rent costs. And while renting is typically cheaper than homebuying, that doesn’t mean renting is any easier. Results for renters can vary significantly by household, as highlighted by LendingTree's study, findings that show that even though 13.17% of adults living in a renter-occupied household are behind on their payments, millions of others are living rent-free.
To read the full report, including more data, charts and methodology, click here [2].