A report from Habitat for Humanity International finds that high housing costs are forcing millions into trade-offs and financial hardships that extend far beyond mortgage payments. The Home at What Cost? report, which compiled responses from 30,000 people across 22 countries, found that many are forced to sacrifice food, healthcare, financial security, and family planning in order to afford housing payments.
Three in four survey respondents indicated they have cut back on at least one expense in the past year to afford housing costs. A greater share of lower-income individuals (85%) and Gen Z and millennials (81%) reported having to make trade-offs. In the U.S., 68% of respondents said they cut back on at least one expense to afford their housing payments.
Among trade-offs being made, one-third reported spending less on food, 32% reported dipping into savings or emergency funds, and 13% delayed or avoided medical care in order to afford their home.
Housing affordability is also forcing compromises on safety, with 40% of respondents saying they accept some level of housing risk because safer options are out of reach. Among respondents in the U.S. 59% said the domestic housing system is broken or does not work. Further, 46% of those surveyed in the U.S. said one unexpected problem could threaten their ability to stay housed.
“A home should never come at the cost of your health or your future. It should be the foundation of health, opportunity, and financial security,” said Jonathan Reckford, CEO of Habitat for Humanity International. “Yet more than half of people believe the housing system in their country is broken or simply isn’t working for them.”
Over half of surveyed individuals say housing costs make it difficult to consider starting a family. The share rises to 62% among surveyed Gen Z and millennials. Additionally, nearly six in ten parents and guardians worry that housing costs are limiting opportunities for their children. While the survey gathered responses from 22 countries, concerns over future homeownership were the highest in higher income countries, including the U.S. where 42% of surveyed individuals say they don’t expect to own a home in their life.
More than one in three people say their housing situation is one of the biggest sources of stress in their lives, including 39% of Gen Z and millennial respondents. In the U.S., 37% of respondents said housing is one of their biggest stressors.
“We cannot accept a future where people have to lower their expectations for what a home should provide,” Reckford said. “The research shows why we need government, businesses, and communities to work together to create housing systems that help people build a future instead of simply surviving the present.”
