LOS ANGELES (AP) — A new study finds half of households in metropolitan Los Angeles spend at least 30 percent of their income on rent or mortgage payments — the highest rate among U.S. cities.
One in four LA households spends at least half its income on housing.
The Los Angeles Times reports the research shows seven of the 10 metro areas with the highest share of so-called “cost-burdened” households are in California — including the San Bernardino-Riverside region, San Diego and Ventura County.
The newspaper says many economists peg 30 percent of income as a point at which housing costs start to become burdensome, crowding out other spending. At 50 percent, it becomes a “severe” burden.
The study released Thursday was done by Harvard University’s Joint Center for Housing Studies.