Yahoo Finance 15 States with the Lowest Homeless Populations Per Capita in the US
In this article, we will take a look at the 15 states with the lowest homeless populations per capita in the US. If you want to skip our detailed analysis, you can go directly to the 5 States with the Lowest Homeless Populations Per Capita in the US.
Homelessness in America
Homelessness in the United States is a growing concern, with hundreds of thousands of individuals experiencing it across the country. In one of our previous articles about the states with the highest homeless populations per capita, we mentioned that the number of homeless individuals surged by 12% year-over-year to reach a record high of 653,000 in 2023. According to the 2023 Annual Homelessness Assessment Report (AHAR) by The U.S. Department of Housing and Urban Development, certain states experienced significant shifts in homelessness rates between 2022 and 2023. The states that experienced the largest percentage increases in homelessness between 2022 and 2023 were New Hampshire (52%) and New Mexico (50%). Conversely, Louisiana and Delaware saw the most significant percentage decreases, with Louisiana reporting 57% fewer people experiencing homelessness and Delaware observing a 47% decline.
The rise in homelessness can be attributed to various factors, including economic disparities and housing affordability challenges. The cost of rent is rising to new heights, causing a significant financial strain for many Americans. According to a report by the Joint Center for Housing Studies of Harvard University, in 2022, the median rent was 21% higher than it was in 2001, while renters’ incomes have only increased by 2% during the same period. As of 2022, the number of renters who were spending more than 30% of their income on rent and utilities had reached a record high of 22.4 million. Among these renters, 12.1 million were paying more than half of their income for housing. This was also an all-time high.
Various organizations are increasingly taking proactive measures to address the homelessness crisis. On April 19, CNBC reported that the Homelessness Prevention Unit of the Los Angeles County Department of Health Services is utilizing predictive artificial intelligence (AI) in a pilot program to identify individuals and families at risk of homelessness. Launched in 2021, the program has supported nearly 800 individuals and families facing homelessness, with 86% of participants retaining permanent housing when they leave the program. Participants receive financial aid ranging from $4,000 to $8,000, primarily funded by the American Rescue Plan Act. While locating those in need and convincing them that the offer is real and not a scam can be challenging, once contact is established, aid is promptly offered to help them get stabilized and remain housed.
Affordable Housing: Market Trends and Key Players
The affordable housing market is an important sector that ensures low and middle-income earners have access to safe and reasonably priced housing units. According to a report by Growth Market Reports, the global affordable housing market was valued at $54.76 billion in 2022. Looking forward, the market is expected to grow at a compound annual growth rate (CAGR) of 4.9% from 2023 to 2031 to reach a value of $84.23 billion by the end of the forecast period. As per the report, North America is anticipated to hold a significant share of the market during the forecast period.
As discussed above, the ongoing issue of housing affordability continues to be a significant contributing factor to homelessness across the United States. Key players in the affordable housing market providing solutions include Cavco Industries, Inc. (NASDAQ:CVCO), American Homes 4 Rent (NYSE:AMH), and Invitation Homes Inc. (NYSE:INVH).
American Homes 4 Rent (NYSE:AMH), commonly referred to as AMH, is an internally managed Real Estate Investment Trust (REIT) that specializes in acquiring, developing, renovating, leasing, and managing homes as rental properties. It owns nearly 60,000 single-family rental homes in the Southeast, Midwest, Southwest, and Mountain West regions of the US. American Homes 4 Rent (NYSE:AMH) aims to simplify the experience of leasing a home and delivering peace of mind to households across the United States. By adding affordable rental properties to the market, it plays a vital role in meeting the housing needs of Americans, particularly those in search of affordable and secure housing options.
Some of the corporations are actively investing substantial resources in strategies aimed at increasing the availability of affordable housing options. Invitation Homes Inc. (NYSE:INVH) is one of the biggest single-family home leasing and management companies in the US. It offers affordable and quality housing options with valued features such as close proximity to major employment centers and access to schools. On April 8, Invitation Homes Inc. (NYSE:INVH) announced that it has agreed to acquire around 500 newly constructed homes for an estimated investment of $140 million. These homes, set to be situated in Charlotte, Jacksonville, and Nashville, will be procured through new partnerships with prominent home builders. Deliveries are expected to commence later this year. In 2023, the company received 648 newly built homes and expects approximately 1,000 new home deliveries from its new product pipeline in 2024. Scott Eisen, Invitation Homes Inc.’s (NYSE:INVH) Chief Investment Officer, said:
“As lack of supply continues to be a primary culprit in the high cost of housing, we are proud to further broaden our strong homebuilder partnerships to create additional housing.”
Cavco Industries, Inc. (NASDAQ:CVCO) is one of the largest designers and producers of factory-built homes in the US. It specializes in producing manufactured homes, modular homes, vacation cabins, park model RVs, and factory-built housing products. On February 1, Cavco Industries, Inc. (NASDAQ:CVCO) reported strong earnings for the fiscal third quarter of 2024. The company reported earnings per share (EPS) of $4.27. The company reported a revenue of $446.77 million and outperformed revenue estimates by $20.89 million.
Here are some comments from Cavco Industries, Inc.’s (NASDAQ:CVCO) (NYSE:AMH) Q3 2024 earnings call:
“So while economic uncertainty remains, the trends are pointed in the right direction as we emerge from the typically slower winter and holiday months. The positive trending we're seeing in the market is coming from the dealer channel. Their traffic remains healthy and conversions are improving. Buyers are adjusting to the now steadier interest rates and to the reality of how much home they can afford. The underlying need for affordable housing is coming to the forefront and driving modest but meaningful quarter-to-quarter order improvements. As discussed over the past few quarters, community orders continue to be off considerably. As industry backlogs decreased in the latter part of 2022, deliveries to communities accelerated, which resulted in excess community inventories going into calendar 2023.
The issue is not whether there are buyers or renters once a given unit is put into service. It's how quickly the units can be permitted and set to reduce the inventory and resume more normal orders. In other words, placements are occurring at a much higher pace than orders until balances reestablished. The natural question is, when will this balance be achieved? Of course, varies by operator and location. However, the outlook for this calendar year is considerably better than last based on our discussions with community operators and developers. We expect we will see increased community orders as the year unfolds. Against that market backdrop, we've stabilized our backlog over the past three quarters by matching production to the pace of orders.”
Now that we have discussed what’s going on in the affordable housing market, let’s take a look at the 15 states with the lowest homeless populations per capita in the US.
Copyright: halfpoint / 123RF Stock Photo
Methodology
In this article, we have listed the 15 states with the lowest homeless populations per capita. To calculate the homeless rate by state per capita, we first consulted The 2023 Annual Homelessness Assessment Report (AHAR) by The U.S. Department of Housing and Urban Development. We used the latest data available in their dataset, which provided us with estimates of people experiencing homelessness at the state level as of December 2023.
We then consulted the United States Census Bureau. This database provided us with estimated populations of US states as of July 2023. We used the data available to calculate the homeless population per capita in each state. Finally, we narrowed down our selection to rank the 15 states with the lowest homeless populations per capita, which are listed below in descending order.
15 States with the Lowest Homeless Populations Per Capita in the US
15. North Carolina
Homeless Population (2023): 9,754
Total Population (2023): 10,835,491
Homeless Population Per 10,000 People (2023): 9.001
Homeless Population Per Capita (2023): 0.0009001
North Carolina is a state in the Southeastern region of the US that ranks among the 15 states with the lowest homeless populations per capita in the US. According to recent estimates, there are 9.001 homeless individuals per 10,000 people in the US state of North Carolina.
14. Texas
Homeless Population (2023): 27,377
Total Population (2023): 30,503,301
Homeless Population Per 10,000 People (2023): 8.975
Homeless Population Per Capita (2023): 0.0008975
Texas, a state in the South Central region of the US, is the second most populated state in the US. With a homeless population of 27,377, it ranks high among the states with the highest homeless population in the US. In Texas, there are 8.975 homeless individuals per 10,000 people.
13. Kansas
Homeless Population (2023): 2,636
Total Population (2023): 2,940,546
Homeless Population Per 10,000 People (2023): 8.964
Homeless Population Per Capita (2023): 0.0008964
Kansas is a landlocked state in the American Midwest that ranks among the states with the lowest homeless populations per capita in the US. According to recent estimates, the homeless population in Kansas stands at 8.964 per 10,000 residents.
12. Michigan
Homeless Population (2023): 8,997
Total Population (2023): 10,037,261
Homeless Population Per 10,000 People (2023): 8.963
Homeless Population Per Capita (2023): 0.0008963
Michigan is a state in the Great Lakes region of the Upper Midwestern region of America. It ranks 12th on our list of the states with the lowest homeless populations per capita in the US. There are 8.963 homeless individuals per 10,000 people in Michigan.
11. Indiana
Homeless Population (2023): 6,017
Total Population (2023): 6,862,199
Homeless Population Per 10,000 People (2023): 8.768
Homeless Population Per Capita (2023): 0.0008768
Indiana is a state in the Midwestern region of America. It is known for its vast farmlands as well as for its manufacturing industry and steel production. The homeless population in Indiana stands at 8.768 per 10,000 residents.
10. Arkansas
Homeless Population (2023): 2,609
Total Population (2023): 3,067,732
Homeless Population Per 10,000 People (2023): 8.504
Homeless Population Per Capita (2023): 0.0008504
Arkansas is a Southern state that ranks among the 10 states with the lowest homeless populations per capita in the US. According to recent estimates, there are 8.504 homeless individuals per 10,000 people in the US state of Arkansas.
9. Connecticut
Homeless Population (2023): 3,015
Total Population (2023): 3,617,176
Homeless Population Per 10,000 People (2023): 8.335
Homeless Population Per Capita (2023): 0.0008335
Connecticut is a state in the New England region of the Northeastern United States. It is one of the smallest and most densely populated states in the US. The homeless population in Connecticut stands at 8.335 per 10,000 residents.
8. Iowa
Homeless Population (2023): 2,653
Total Population (2023): 3,207,004
Homeless Population Per 10,000 People (2023): 8.272
Homeless Population Per Capita (2023): 0.0008272
Iowa, sitting between the Missouri and Mississippi rivers, is a state in the upper Midwestern region of America. It ranks 8th on our list of the states with the lowest homeless populations per capita in the US. There are 8.272 homeless individuals per 10,000 people in the state of Iowa.
7. Wisconsin
Homeless Population (2023): 4,861
Total Population (2023): 5,910,955
Homeless Population Per 10,000 People (2023): 8.223
Homeless Population Per Capita (2023): 0.0008223
Wisconsin is a state in the Upper Midwestern region of America. It also ranks among the smartest states with the highest average IQ. There are 8.223 homeless individuals per 10,000 people in the US state of Wisconsin.
6. West Virginia
Homeless Population (2023): 1,416
Total Population (2023): 1,770,071
Homeless Population Per 10,000 People (2023): 7.999
Homeless Population Per Capita (2023): 0.0007999
West Virginia is a state in the Southern and Mid-Atlantic regions of America. According to recent estimates, the homeless population in West Virginia stands at 7.999 per 10,000 residents. West Virginia ranks 6th on our list of the 15 states with the lowest homeless populations per capita in the US.
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