Builders Patch | HousingCount: Michigan affordable housing data and latest news
Michigan
Summary
Michigan state is facing an acute affordable housing crisis. For every 100 low-income renter households, there are 55 units available that are affordable to them. The median rent in the state has risen by 31% since 2010, while median household incomes have grown by 45%. Currently, the state is short over 127,895 low-income housing units, meaning rental units that are affordable to households earning ≤60% of AMI.
Key Statistics
- 27.8% share of renter households
- 40.6% share of low-income households
- 44.9% share of rent-burdened households
Renter Population Data
Households
| Type | Households | % Share |
|---|---|---|
| Renter households | 1,106,036 | 27.8% |
| Homeowner households | 2,870,693 | 72.2% |
| Total households | 3,976,729 | 100.0% |
Low-Income Renter Households
| Income Group | Households | % Share |
|---|---|---|
| Extremely low-income (≤30% AMI) | 155,918 | 14.1% |
| Very low-income (31-50% AMI) | 125,942 | 11.4% |
| Low-income (51-80% AMI) | 166,819 | 15.1% |
| All low-income households (<80% AMI) | 448,679 | 40.6% |
Rent-Burdened Households
| Burden Level | Households | % Share |
|---|---|---|
| Moderately rent-burdened | 240,212 | 21.7% |
| 30.0–34.9% | 89,811 | 8.1% |
| 35.0–39.9% | 62,313 | 5.6% |
| 40.0-49.9% | 88,088 | 8.0% |
| Severely rent-burdened | 255,989 | 23.1% |
| Total rent-burdened households | 496,201 | 44.9% |
Affordable Housing Shortage
Rent vs. Median Household Income
| Year | Median Household Income ($) | Median Rent ($) |
|---|---|---|
| 2010 | 25,003 | 595 |
| 2021 | 36,257 | 779 |
| Increase (2010–2021) | 45.0% | 30.9% |
Affordable Housing Stock
| Units | |
|---|---|
| Supply (current stock) | 153,965 |
| Demand (total units needed) | 281,860 |
| Shortage | 127,895 |
| Supply/Demand Ratio | 54.6% |
Michigan State Housing Development Authority
Michigan State Housing Development Authority
735 E Michigan Avenue Lansing, MI 48912-1474
List of Loan Programs
- Low Income Housing Tax Credits (LIHTC)
- Direct Lending Cap Financing Program
- Reduced-Rate Fast-Track Loan Pilot Program
- Equity Bridge Loan
Housing News
1. How Fed Rate Cuts Impact the Housing Market
- Key Takeaways:
- Fed rate cuts have reduced the average 30-year mortgage rate to around 6.2% from a peak of 7.79%.
- As rates decline, more homeowners might be encouraged to sell, yet a full recovery is expected to be gradual.
- Supply shortages will persist due to zoning restrictions and labor/material shortages.
- Broader structural challenges remain, particularly regarding the lack of new housing supply.
2. Priced Out of Housing, Communities Take Development Into Their Own Hands
In Traverse City, Michigan, Commongrounds was created to offer affordable living and business spaces through a community-funded project.
3. Housing Market Won’t Come ‘Unstuck’ Until 2026
Bank of America economists predict a long recovery ahead for the market, with significant barriers still in place.
4. States With the Largest Homeless Populations
In 2023, the U.S. saw around 653,000 homeless individuals, reflecting a substantial rise since 2020.
5. The Homebuying Affordability Gap is Widening
The national affordability gap has hit a 10-year high, with barely 63% of counties affordable for median-income households.
6. Record High Housing Affordability Issues
50% of U.S. renters are facing affordability issues, exacerbated by rising rent costs and insufficient affordable housing options.
7. The Hottest Trend in U.S. Cities?
Cities are pushing forward with zoning rule changes aimed at expanding housing development, addressing the ongoing housing crisis.