Cities with the most severely housing-cost-burdened households have seen little improvement as familiar names keep a hold of their spots on a burden-based ranking, according to a study by financial technology company SmartAsset.
SmartAsset cited Census Bureau data, which found that almost 7 million US households were severely housing-cost-burdened in 2016. People who spend more than 50% of their income on housing are said to be severely housing-cost-burdened. The study ranked the most and least severely burdened households by comparing the number of severely burdened households to the total number of households that own their homes.
Once again, Newark, N.J., ranked first among the severely housing-cost-burdened cities. More than 26% of Newark households pay more than 50% of their income on housing costs. SmartAsset data also found that a further 21% of households spend between 30% and 50% of their income on housing. Altogether, almost 48% of the city’s households spend at least 30% of their income on housing.
Florida was found to be the most burdened state, with four of its cities struggling with housing costs. Miami, Hialeah, and Pompano Beach were second, third, and fourth on the rankings, respectively, while Hollywood, Fla., was in seventh. New York cities New York and Yonkers, Connecticut cities Norwalk and Stamford, and Los Angeles rounded out the list of 10 most burdened cities.
Cary, N.C., was the least housing-cost-burdened city, according to SmartAsset. The study estimates that only 5% of homeowners in the city are severely housing-cost-burdened. In fact, less than 15% of homeowners spend more than 30% of their income on housing.
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