To meet housing costs, people may sacrifice access to reliable transportation, educational attainment, and residence in high-opportunity areas. Affordable housing lifts some of this burden by keeping families in good physical, mental, and financial health, which can improve their economic outcomes and feelings of belonging.
Evidence on the Relationship between Housing Affordability and Upward Mobility Outcomes
As of December 2021, researchers have documented the following connections between this predictor and upward mobility. Asterisk (*) indicates primary reference.
- Desmond and Gershenson (2016) find that residential stability is the basis for psychological stability, which allows people to invest in their social relationships, communities, health, and education.
- Research shows that compared with other renters and homeowners, rent-burdened households have higher eviction rates, increased financial fragility, and wider use of social safety-net programs (Pew Charitable Trusts 2018). Homeownership and residential stability are associated with increased educational achievement, and educational outcomes are better for children living in higher-quality neighborhoods (Vandivere et al. 2006*).
- Higher rent burdens are associated with worse self-reported health conditions and an increased likelihood of postponing medical services for financial reasons (Meltzer and Schwartz 2015).
- Nobari and colleagues (2019) find that severe housing-cost burden is associated with a higher chance of childhood obesity.
- Households that are behind on rent have a greater likelihood of poor caregiver health, maternal depressive symptoms, child lifetime hospitalizations, child health issues, and household material hardships (Sandel et al. 2018).
- One study based on the National Survey of America’s Families found that when compared with children in more stable housing, children in rent-burdened households have lower health ratings, are held back in school more often, and show additional behavioral problems (Aratani et al. 2011).
Promising Local Policy Interventions
Research from both Urban and others in the field suggests the following policies could help communities improve this predictor. These suggestions are not exhaustive, and communities should work with residents and leaders to identify solutions that are best suited to their local contexts.
- Increasing the overall housing supply, including by reforming zoning and land-use policies, streamlining permitting processes, and creating incentives for developers to build new housing. (This may also improve the Racial Diversity and School Economic Diversity)
- Creating more dedicated affordable housing, including by subsidizing affordable housing development, establishing incentivesfor developers to create affordable units (e.g., density bonuses), and exploring ways to build affordable housing on publicly owned land.
- Preserving subsidized and unsubsidized affordable rental housing.
- Supporting permanently affordable housing models, such as community land trusts.
- Creating affordable homeownership opportunities, including by providing downpayment or closing-cost assistance and expanding access to financing, such as through the use of subsidized or shared appreciation (This may also improve the Wealth-Building Opportunities and Racial Diversity predictors.)
Mobility Dimensions Engaged
Economic success
Power and autonomy
Dignity and belonging
