*Houston has been ranked as the U.S. city with the highest poverty rate among major metropolitan areas, according to newly released U.S. Census Bureau data.
According to ABC 13, the report shows that one in five Houstonians, or 21.1% of the population, lived at or below the federal poverty line in 2024. This figure is double the national poverty rate of 10.6%.
“For about the past decade, Houston has been around this mark of 20% to 21% on or off for about ten years now,” said Daniel Potter, Director of the Houston Population Research Center at the Kinder Institute. Potter said the problem stems from a shortage of well-paying jobs rather than a lack of jobs overall.
“We’re missing jobs that are paying between about $100,000 and $150,000,” Potter explained. “These are not entry-level positions we’re talking about. These are your mid-career. These are positions that oftentimes people are working towards.”
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The Kinder Institute’s 2025 State of Housing report highlights another major factor: rising housing costs. More than half of Houston households are spending over 30% of their income on rent. Potter emphasized how this financial burden impacts families, saying, “When I’m taking half of my income and I’m putting it into just my lodging, it is leaving very little behind for me to have money for my food, my utilities, my insurances.”
Potter expressed hope that the new data can guide policymakers toward solutions. “We are talking about things that you can change and you can move,” he said. “It’s just recognizing we’ve got to make sure we’re prioritizing those living wage positions because we’ve got folks that are working here. It’s just making sure they’ve got those opportunities.”
Although the current numbers are concerning, Houston’s poverty rate has seen improvement over time. Potter noted that 15 years ago, about 25% of the city’s population was living in poverty.
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