The city of Dallas has experienced a sharp decline over the past two years in the number of low-rent housing units priced below $1,000 per month. The number dropped from more than 98,000 units in 2021 to just around 47,000 units by 2023, creating a widening gap between what tenants can afford and what is actually available in the market.
A report released recently in February highlighted this gap, pointing to a clear imbalance between supply and demand in the rental market based on household income levels. Units renting for around $1,000 are considered affordable for individuals earning an annual income of $36,000, which is roughly half of the area’s median individual income.
The report also explained that the decline in low-cost units is not evenly distributed across the city but varies significantly by neighborhood. Areas such as Districts 1 and 6 in West Dallas, along with Districts 9, 10, 11, and 12 in the northeastern part of the city, recorded declines of more than half in the number of these units. This trend reflects a widespread reduction across most areas over the past two years.
The report further revealed that the housing market is currently short by tens of thousands of units needed to meet the demands of low-income households. The shortage is estimated at approximately 46,000 units for families earning less than half of the area median income, and an additional 43,000 units for households earning less than 30% of the median income.
