US households with children face a higher risk of rent burdens than those without kids, Zillow Group (Z, ZG) said Thursday, citing new analysis of US Census Bureau data.
About one-third of US families with children are renters, and 54% of those households are considered rent-burdened, meaning they spend more than 30% of their income on rent, according to the online real estate marketplace.
The US faces a 4.7 million-unit housing shortage, which continues to push costs higher for families needing multi-bedroom homes, Zillow said.
"As the average age of renters climbs, more than a third of renters today have children, yet their options for affordable family-sized apartments remain limited in most markets," said Kenny Lee, Zillow senior economist. "That pushes competition for homes higher, which pushes housing costs higher, and ultimately leads to more families doubling up or staying in homes they've long outgrown."
Only 37% of all rentals on Zillow last month offered two bedrooms, while 24% offered three or more.
Although family households generally earn more than nonfamily households, affordability challenges persist in high-cost markets. In Miami, 42% of family households rent, and 67% of those renters are considered rent-burdened, Zillow said.
Finding affordable homes is most difficult in expensive coastal markets such as Seattle and New York City, where fewer than half of rental listings offer at least two bedrooms, Zillow said.
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