# Texas

### Summary

Texas state is facing an acute affordable housing crisis. For every 100 low-income renter households, there are 54 units available that are affordable to them. The median rent in the state has risen by 55% since 2010, while median household incomes have grown by 45%. Currently, the state is short over 420,950 low-income housing units, meaning rental units that are affordable to households earning ≤60% of AMI.

37.6% share of renter households  
40.1% share of low-income households  
45.4% share of rent-burdened households

### Renter population data

**Renters vs homeowners**

| Households             | % share  |
|-----------------------|----------|
| Renter households      | 3,848,280| 37.6%    |
| Homeowner households    | 6,391,061| 62.4%    |
| Total households        | 10,239,341| 100.0%  |

**Low-income renter households**

**Renter households by income group**

| Households                         | % share  |
|------------------------------------|----------|
| Extremely low-income (≤30% AMI)  | 527,654  | 13.7%    |
| Very low-income (31-50% AMI)     | 396,926  | 10.3%    |
| Low-income (51-80% AMI)          | 620,052  | 16.1%    |
| All low-income households (<80% AMI) | 1,544,632 | 40.1%  |

**Rent-burdened households**

| Share of income spent on rent     | Households | % share  |
|----------------------------------|------------|----------|
| Moderately rent-burdened         | 912,364    | 23.7%    |
| 30.0–34.9%                       | 329,861    | 8.6%     |
| 35.0–39.9%                       | 250,007    | 6.5%     |
| 40.0-49.9%                       | 332,496    | 8.6%     |
| Severely rent-burdened           | 835,181    | 21.7%    |
| ≥50.0%                            | 835,181    | 21.7%    |
| All rent-burdened households      | 1,747,545  | 45.4%    |

### Affordable housing shortage

**Rent vs median household income**

| Year   | Median household income ($) |  
|--------|----------------------------|
| 2010   | 31,041                     |
| 2021   | 45,149                     |
| Increase (2010–2021)          | 45.4%                     |

**Median rent**

| Year   | Median rent ($)           |
|--------|---------------------------|
| 2010   | 625                       |
| 2021   | 971                       |
| Increase (2010–2021)          | 55.4%  |

**Affordable housing stock**

| Category                              | Units      |
|---------------------------------------|------------|
| Supply (current stock)                  | 503,630    |
| Demand (total units needed)            | 924,580    |
| Shortage                               | 420,950    |
| Total shortage                        | 420,950    |
| Supply/Demand Ratio                     | 54.5%      |

### Finance institutions

#### Texas Department of Housing and Community Affairs

Texas Department of Housing and Community Affairs  
221 E 11th Street  
Austin, TX 78701-2410

**List of loan programs**  
- Housing Tax Credit Programs: [Competitive (9%)](https://www.tdhca.state.tx.us/multifamily/housing-tax-credits-9pct/index.htm) and [Non-Competitive (4%)](https://www.tdhca.state.tx.us/multifamily/housing-tax-credits-4pct/index.htm).
- [Multifamily Bond Program](https://www.tdhca.state.tx.us/multifamily/bond/index.htm)
- [HOME Multifamily Development Program](https://www.tdhca.state.tx.us/multifamily/home/index.htm)

### QAP document (Qualified Allocation Plan)

QAP Texas  
The QAP is a document that states, and a few local agencies, must develop in order to distribute federal Low Income Housing Tax Credits (LIHTCs), which can be awarded only to a building that fits the QAP’s priorities and criteria. The priorities must be appropriate to local conditions.  
[Download document](https://cdn.prod.website-files.com/5d35f0b6334923cb86844844/6492c3a29a6c4ed0978477ff_texas-lihtc-qap-10tac-ch11-2023-12022022.pdf)

### Housing news

#### How Fed Rate Cuts Impact the Housing Market
**Key Takeaways:**
- **Lower Mortgage Rates**: Fed rate cuts have already reduced the average 30-year mortgage rate, which dropped from a peak of 7.79% in late 2023 to around 6.2%.
- **Ongoing Supply Issues**: Despite lower rates, housing supply shortages will persist, especially in high-demand areas.

#### Housing market won’t come ‘unstuck’ until 2026, economists predict
Bank of America economists predict the US housing market won't recover until at least 2026, with home affordability improving only with a recession.

#### States With the Largest Homeless Populations
In 2023, the number of homeless individuals in the U.S. reached approximately 653,000, the highest since such records began in 2007.

| Rank | State         | Homeless Population |
|------|--------------|---------------------|
| 1    | California   | 181,399            |
| 2    | New York     | 103,200            |
| 3    | Florida      | 30,756             |
| 4    | Washington   | 28,036             |
| 5    | Texas        | 27,377             |
| 6    | Oregon       | 20,142             |
| 7    | Massachusetts| 19,141             |
| 8    | Colorado     | 14,439             |
| 9    | Arizona      | 14,237             |
| 10   | Pennsylvania | 12,556             |