The burden of Long Island NY household costs fell for the third consecutive year, according to the U.S. Census’ 2013 American Community Survey. Nationwide last year, 39.6 million households spent more than 30 percent of their income on housing, which is a decrease from 40.9 million in 2012 and down from the peak of 42.7 million in 2010.
Long Island NY household costs are mostly dropping among home owners, while they continue to strain renters, according to a recent analysis by the Harvard Joint Center for Housing Studies of the data. In 2013, 26 percent of home owners were considered burdened by household expenses (i.e.: spending more than 30 percent of their income on housing), compared to half of all renters at 49 percent.
Why Long Island NY Household Costs Are Escalating For Renters
The number of renter households is on the rise, which partially explains why Long Island NY household costs for renters are escalating. But renters are also plagued by rising rents that are not matching incomes. Median renter costs were up about 5 percent in 2013 compared to 2001, even though median incomes were nearly 11 percent lower, according to the report.
This has led to more renters being severely burdened by Long Island NY household costs in 2013, paying more than 50 percent of their incomes toward housing costs. 11.2 million renters were in this category.
The number of home owners burdened with higher Long Island NY household costs is dropping. After surging during the housing bubble, inflation-adjusted owner costs have dropped about 2.5 percent below their 2001 level. Owner burdens are also down due to a significant reduction in the overall number of home owners in 2013 than 2012. This decline in the number of home owners for the third straight year suggests that many burdened owners dropped out of ownership, moving into the costly rental market.
Get more timely information about Long Island NY household costs and news affecting those costs in our section on Long Island NY Real Estate News to the right under Long Island NY Real Estate Categories.
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