What Is Being Done To Help the US Rental Crisis?

Most Americans associate panhandlers and tent cities with homelessness. However, the more significant issue of home loss is far more intricate and essentially goes unnoticed. Many people who lose their homes are full-time workers, yet their income is insufficient to cover their rent. Many people live in their automobiles, with relatives, or in other temporary arrangements, and they are often families. Fortunately, organizations and rental agencies are presenting helpful solutions to ensure US renters can find places to live that fit within their budgets.

Co-leasing options

For months, renters across the United States have been struggling to find affordable housing - and, in some cases, housing altogether. Numerous circumstances, such as evictions, foreclosures, eminent domain takings, and natural disasters, contribute to the loss of housing. These stressful forced relocations cause homelessness, unstable housing, job loss, adverse effects on health and education, and decreased economic mobility. 

In today's housing market, it can be nerve-wracking to hit enter after you have searched 'room for rent near me.' Rent prices are rapidly increasing across the USA, and millions of people cannot find accommodation to suit their income level - but co-leasing can help you navigate this complex situation.

Many real estate companies offer renters the opportunity to seek co-leasing spaces. This allows several people to sign leases for a single property they intend to occupy. This is available to both businesses and individuals.

A significant benefit of co-leasing is that you are responsible for your lease section. In many cases where a group of roommates lives together, the rest becomes responsible if one person fails to pay their share of the rent. This is not the case when co-leasing; it provides more peace of mind when sharing an apartment with someone else.

Co-leasing also allows you to split bills to reduce your overall monthly expenditure. Paying for internet, electricity, and water bills on your own can be a significant financial burden, and it helps to split the costs between two or more people. This type of roommate situation is widespread within student housing. 

Resident-centred housing challenge

Another great initiative that has been launched to address the rental crisis is the Resident-Centred Housing Challenge, introduced by the Biden-Harris Administration in January 2023. To drive action among local governments, they have outlined the following measures:

• The FTC and CFBP will identify ways to prevent landlords from unfairly preventing renters from accessing housing.

• New guidance to hold background check companies accountable if they have unreasonable procedures.

• A public process to examine actions that will limit rent increases.

Helpful payment options from property managers

The rental crisis has left many renters unable to pay their bills on time, and property managers are looking for ways to help. One example is the Stewards of Affordable Housing for the Future (SAHF), offering flexible payment plans for those behind their rent.

Rental caps from state governments

One of the most important moves that can be made to help those suffering during the rental crisis is for local governments to place caps on how much rent can be increased. The Wisconsin Housing and Economic Development Authority and the Pennsylvania Housing Finance Agency have capped yearly rent increases at 5% - so renters won't be priced out of their homes.

Other states must adopt a similar approach to Wisconsin and Pennsylvania. In 2022, some Americas saw their rent increase by as much as 12%. This type of jump in price could put a tremendous financial strain on an individual or a family renting, and lawmakers should keep working towards preventing this.

Can employers help?

Employers have not been on the hook for helping their staff with their housing for decades - short of providing relocation assistance. However, studies have shown that increased commute time can negatively impact an employee's performance. So if people are moving further away from their jobs to be able to make rent, it becomes a point of interest for business owners.

So, we are starting to see more employers get involved in the housing issues of their employees. For example, some companies are now helping employees cover their security deposit costs and even providing loans to help cover rent.

Another initiative larger companies are exploring is creating subsidized housing for their employees. These large-scale, long-term projects provide housing security to keep their employees in affordable accommodations.