New Mexico’s poverty rate is sitting at 18.1%, which is 5.7% higher than the national average. This contributes to the state’s unstable housing challenges.
A new housing needs assessment found over 4,631 people in New Mexico were unhoused last year, a 20% increase from 2023. That’s based on the federal Point in Time Count by the U.S. Department of Housing and Urban Development. During a meeting of the committee that oversees the Mortgage Finance Authority, officials with MFA said this is likely an undercount because the study does not include people living in hotels, vehicles or other alternative shelters.
Stepahnie Gonzales, research and development manager for the MFA, said the rising cost of rent can be a burden for low-income renters. The median rent cost in 2023 was $1,021, a 23% increase from 2019.
“In this state, the increase in rent coupled with inflation and the increasing cost of living are putting pressure on renters, specifically the low-income renters within the state,” she said.
The report shows cost-burdened households pay more than 30% of their income towards housing costs, and renters are more likely to fall in that category, which makes homeownership difficult for many.
The presentation emphasized the need for affordable housing development and local zoning reforms to address these issues.
Sen. Michael Padilla (D-Albuquerque) praised the presentation and recommended it be shown to other committees for consideration and possible legislation to address housing affordability.
Support for this coverage comes from the Thornburg Foundation.
