Housing is Out of Reach in Michigan for Low-Wage Workers

Michiganders earning minimum wage must work 58 hours per week to afford a one-bedroom rental home

Michigan, June 18—The National Low Income Housing Coalition released their latest Out of Reach report, highlighting the significant gap between renters’ wages and the cost of rental housing across the United States. Low wages, wage disparities, racial inequalities and a severe shortage of affordable and available rental homes continue to leave far too many people in Michigan struggling to keep roofs over their heads.

“In addition to stagnating wages, Michigan’s lack of investment in affordable housing is harming hard working individuals and families,” said Luke Forrest, executive director of the Community Economic Development Association of Michigan (CEDAM). “We urge Governor Whitmer and the state legislature to prioritize this issue, including funding the Michigan Housing and Community Development fund—our state’s housing trust fund—which would create more safe, quality and affordable homes for low- to moderate-income Michiganders.”

Out of Reach Michigan Data

• One must work 58 hours per week at minimum wage (which is $9.45) to afford a one-bedroom rental home
• One must work 73 hours per week at minimum wage to afford a two-bedroom rental home
• One must earn $17.25 per hour in order to afford a two-bedroom rental home, but the average renter in Michigan earns $14.96

“In Michigan, 29% of our households are renters but we aren’t ensuring an adequate stock of affordable rental housing,” said Eric Hufnagel, executive director of the Michigan Coalition Against Homelessness. “We had over 63,000 individuals–including families with young children and seniors–experience homelessness in 2017, and that number could start increasing if we don’t address the issue of aligning our housing options with the wages that people are earning.”

For more information, visit nlihc.org/oor.

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