SaverLife’s housing research and member stories were generously supported and funded by Melville Charitable Trust. We also appreciate the additional philanthropic support we received from Deutsche Bank for our housing research efforts.

New Research: Understanding the financial drivers of housing insecurity

The rising cost of housing across the U.S. is straining the financial stability of individuals living on low-to-moderate incomes (LMI). Housing cost burden can cause a ripple effect on other aspects of their financial health, including how well they’re able to manage their daily expenses while also taking steps to achieve their longer-term financial goals.

Through our research, we learned that one-third of SaverLife members cut back on groceries or went without health care in order to make their housing payments. These trade-offs have the potential to significantly harm their quality of life and increase their risk for food insecurity and health problems.

In this brief, we explore the interplay between housing affordability and financial insecurity by examining the real-life experiences of SaverLife members. We delve into the specific challenges they face and highlight the proactive steps they’re taking to navigate these obstacles. In addition, we identify programs and resources created to empower them in their pursuit of stable and affordable housing, as well as how those programs can be improved and expanded to be more effective. Read the report.

Read the report

Our research clearly shows that SaverLife members face hurdles when it comes to affording and finding adequate housing. The challenges highlighted in our survey underscore the urgent need for comprehensive and accessible housing support for those earning low-to-moderate incomes. Addressing these issues is essential not only for improving individual well-being, but also for fostering financially healthy communities.

Finding one: More than a third (34%) of members had problems making at least one housing payment in the prior year, including 41% of renters and 24% of homeowners. However, a much greater number – 63% – made financial sacrifices, such as taking on gig work or spending less on groceries, in order to make housing payments.

Finding two: Income and expense shocks are significant drivers of housing payment challenges. Among various income and expense shocks, income disruptions or unexpected expenses resulting from severe weather events or natural disasters emerged as the clearest risk factors, but costs associated with moving also contribute to housing payment challenges.

Finding three: Limited savings are a major risk factor in making rent or mortgage payments. For both renters and homeowners, having $500 or more in short-term savings greatly lessens the risk for problems making housing payments.

Finding four: Debt problems create challenges for both renters and homeowners. Homeowners with no reported debt problems had only a 5% chance of having problems with mortgage payments, yet this chance jumps to 34% with just one debt problem.

Finding five: SaverLife members who identify as Black and members who are parents with children in the home are more likely to experience housing payment challenges. Half (50%) of members identifying as Black said they had problems paying rent compared to 36% of members with other racial or ethnic identities. Over half (56%) of members with children had problems paying rent compared to 24% of those without children and were more likely to face eviction.

Finding six: Awareness and usage of assistance programs is low – over half of renters are unaware of housing counseling programs, and only 6% have received these services. Among homeowners, two-thirds are unaware of property tax assistance programs and 55% are unaware of home repair subsidies that may be available.

Member stories

As part of these research efforts, we connected with five SaverLife members from across the country to learn about their experiences navigating the financial burden of housing. Here are their stories:

Mecca — California

Keep calm and keep calling: How one woman is navigating the rental market without letting bureaucracy get in her way
(Funded by Melville Charitable Trust)

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Amy — Texas

How one woman learned to become her own advocate: This SaverLife member isn’t letting rent hold her back
(Funded by Melville Charitable Trust)

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Alicia — Kentucky

The unexpected costs of homeownership: How one SaverLife member is keeping repair demands in check with her dreams
(Funded by Melville Charitable Trust)

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Emil — New York

Building a strong housing future on rocky ground: How one New Yorker is navigating life and the housing lottery.
(Funded by Deutsche Bank)

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Felecia — New York

What’s the most important housing cost? Striking a balance between memories and financial health
(Funded by Deutsche Bank)

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