A report from a national non-profit group finds a large percentage of Nebraskans are spending a sizeable portion of their incomes on housing, but overall, Nebraska ranks very favorably compared to the rest of the country.
Kasey Wiedrich, senior research manager at the Corporation for Enterprise Development, says this part of the study focused on people who rent their living quarters.
Wiedrich says, “In Nebraska, it’s actually 43% of renters are spending more than 30% of their income on housing costs, things like rent and utilities.”
While affordable housing can be key to helping working families gain and keep financial stability, for many Nebraskans, the combined costs of rent and utilities are taking more than their share of the monthly budget.
“Really, the rule of thumb is that you should be spending less than 30% on your housing costs,” Wiedrich says. “When you spend more on your housing costs, that means you have less money for other things and to save so if something would happen, you have a cushion to rely on.”
She says 43% of Nebraska’s renters are considered “housing cost-burdened,” while the national average is 52%.
“Compared to the nation, Nebraska is actually doing pretty well,” Wiedrich says. “It’s over half of the nation and Nebraska ranks third compared to other states, it’s the third best in the nation on housing costs for renters.”
For homeowners in the state, the rate is significantly lower, with about 24% of Nebraskans considered housing cost-burdened.
Learn more at the Corporation for Enterprise Development website: www.cfed.org