A growing number of U.S. renters are facing difficulties covering housing costs, with new data indicating that middle-income households are increasingly vulnerable to missed payments and potential eviction. According to a report released Tuesday by the Urban Institute, 20% of middle-income renters reported being unable to pay their full rent when due at least once during 2025, a notable rise from approximately 14% the previous year.
While low-income renters have long borne a disproportionate burden regarding housing affordability, the latest findings suggest that financial strain is spreading across broader income brackets. Samantha Batko, a senior fellow at the Urban Institute and co-author of the study, highlighted the significance of this trend. “This increase among middle-income renters is a big and important shift that reflects overall challenges with affordability in the country,” Batko said.
The research distinguishes between renters and homeowners, noting that mortgage affordability has remained stable for the past seven years. However, the percentage of renters falling behind on payments has climbed steadily since 2022. For lower-income renters, nearly 28% reported housing payment difficulties in 2025, up from around 24% in 2019.
Middle-income renters, defined as single individuals earning between $31,300 and $62,600 or families of three earning between $53,300 and $106,600, experienced the most dramatic increase in hardship. Nearly 22% of this group cited an inability to pay rent in full at least once last year. Even high-earning renters saw a slight deterioration, with about 7% struggling to pay rent, an increase of 2% from the prior year.
Batko emphasized that these statistics represent real-time decisions families are forced to make. “When we see a family reporting having had a late payment or a partial payment or a missing rent payment, we’re seeing those choices happen in real time,” she explained, noting that households may prioritize essentials like medication and food over rental obligations.
Compounding the issue, slightly more than 20% of renters also reported struggles affording utilities such as gas, oil, and electricity last year. Researchers attribute the worsening affordability landscape to mounting economic pressures and the rising cost of everyday necessities.
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