By Vanguard Staff
California households are facing the steepest housing cost burdens in the nation, with one in five spending more than half of their income on shelter, according to an analysis of new Census Bureau data.
Jonathan Lansner, business columnist for the Orange County Register, reported that California had 2.8 million households in 2024 where housing expenses consumed more than 50% of income. That represents 20% of all households in the state, the highest rate in the country and well above the national average of 15%. Texas and Florida followed with 1.7 million households each.
Lansner noted that renters make up the majority of California’s cost-burdened population. Of the state’s 6.1 million rental households, 1.6 million were considered “extremely burdened,” meaning they devoted more than half their income to rent. That accounts for 56% of all cost-stressed households in California.
The median monthly rent in California was $2,104 in 2024, the most expensive among the states and 60% above the national median of $1,319. Rents rose 30% in California between 2019 and 2024, though that increase ranked 32nd nationally. By comparison, Idaho rents surged 57% and Arizona rents climbed 52% over the same period.
Homeowners were also squeezed. Lansner reported that 15% of California homeowners spent more than half their income on mortgage, utilities, insurance, and other housing expenses—again the highest rate nationwide. That translated into 1.1 million households, more than in any other state.
The average homeowner in California paid $2,280 a month in 2024, 70% higher than the national average of $1,340. Only Washington, D.C., was costlier, at $2,610.
Lansner also highlighted another way Californians manage the high costs: crowding more people into each unit. On average, rental units in the state housed 2.63 residents, compared to the national average of 2.17. Homeowner households averaged 2.92 residents, among the highest in the country.
“These latest figures detail swings in who’s renting and who owns, how much they pay a month, which households are financially swamped by housing expenses, and how many folks can squeeze into a home,” Lansner wrote.
The analysis underscores the persistent pressure California households face despite a cooling rental market in recent months. Rising property taxes, insurance costs, and other ownership expenses have continued to push costs higher, adding to the state’s affordability crisis.
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