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Money 2025 Homelessness Report
In June 2024, the Supreme Court ruled that cities can ban people from sleeping in public spaces. [1] NPR, ‘The Supreme Court says cities can punish people for sleeping in public places’, June 2024 https://www.npr.org/2024/06/28/nx-s1-4992010/supreme-court-homeless-punish-sleeping-encampments At the same time homelessness numbers have soared to record levels. The 2024 Annual Homelessness Assessment Report by The Department of Housing and Urban Development (HUD) found that the U.S. homeless population increased by more than 18% between 2023 and 2024 (comparing homeless levels on two single-nights). [2] U.S. Department of Housing and Urban Development, “The 2024 Annual Homelessness Assessment Report (AHAR) to Congress”, December 2024 https://www.huduser.gov/portal/sites/default/files/pdf/2024-AHAR-Part-1.pdf
This study explores the current state of homelessness in the U.S. and the perceptions and attitudes towards the issue from the general public. To inform these perspectives, a survey was conducted on behalf of Self Financial of 1,054 American adults. This survey covered a whole range of topics, including how much people regularly give and are prepared to give to help solve the problem, how they feel tax money should be used on the issue, and how financially secure their own current housing situations are.
Key findings from the survey:
- 71.2% of respondents worry about becoming homeless.
- 85% of respondents said homelessness was an issue in their area – 58.1% said it had gotten worse in the past year.
- One in three (34.7%) of respondents could only afford housing for a month or less if they lost their main source of income.
- One in five (19.8%)have less than $100 set aside for emergencies.
- 77.6% of people think empty or vacant land should be used as housing for homeless people rather than sold to private companies.
- Three in five (60.7%) thought movinghomeless people to “tent cities” would save taxpayers money.
What is homelessness?
Homelessness is defined as living in a place not meant for human habitation, in an emergency shelter, in transitional housing, or exiting an institution where a person temporarily resided. [3] Housing California, ‘Homelessness’ https://www.housingca.org/policy/focus/homelessness/
There are four official subcategories within the U.S. legislature. [4] US Department of Housing and Urban Development, ‘Four Categories of the Homeless Definition’ https://www.hudexchange.info/homelessness-assistance/coc-esg-virtual-binders/coc-esg-homeless-eligibility/four-categories/ These include:
- Literally Homeless
- Imminent Risk of Homelessness
- Homeless Under Other Federal Statutes
- Fleeing/Attempting to Flee Domestic Violence
How many people experience homelessness in the U.S.?
In December 2024 a report released by HUD (United States Department of Housing and Urban Development) said that the homeless population was greater than ever. Using an annual snapshot taken on a night in January 2024, 770,000 people were counted in shelters, temporary housing, and unsheltered settings. This is an 18% increase since 2023. [2] U.S. Department of Housing and Urban Development, “The 2024 Annual Homelessness Assessment Report (AHAR) to Congress”, December 2024 https://www.huduser.gov/portal/sites/default/files/pdf/2024-AHAR-Part-1.pdf
This population is not distributed evenly across the U.S. The cities with the largest homeless populations are New York, Los Angeles, Chicago, Seattle and Denver. [5] U.S. News & World Report, ‘The 25 Major U.S. Cities With the Largest Homeless Populations’, January 2025 https://www.usnews.com/news/best-states/slideshows/cities-with-the-largest-homeless-populations-in-the-u-s One region particularly affected is the West Coast. On the night counted by HUD in January 2024, there were at least 187,084 people experiencing homelessness in the state of California alone, and 158,019 in the state of New York. These are the highest rates per capita in the country (48 per 10,000 in California and 81 per 10,000 in New York). [2] U.S. Department of Housing and Urban Development, “The 2024 Annual Homelessness Assessment Report (AHAR) to Congress”, December 2024 https://www.huduser.gov/portal/sites/default/files/pdf/2024-AHAR-Part-1.pdf
| The top 10 cities with the largest homeless populations* | |||
|---|---|---|---|
| Rank | City | State | Homeless Population |
| 1 | New York City | New York | 140,134 |
| 2 | Los Angeles | California | 71,201 |
| 3 | Chicago | Illinois | 18,836 |
| 4 | Seattle | Washington | 16,868 |
| 5 | Denver | Colorado | 14,281 |
| 6 | San Diego | California | 10,605 |
| 7 | San Jose | California | 10,394 |
| 8 | Oakland | California | 9,450 |
| 9 | Phoenix | Arizona | 9,435 |
| 10 | San Francisco | California | 8,323 |
* [5] U.S. News & World Report, ‘The 25 Major U.S. Cities With the Largest Homeless Populations’, January 2025 https://www.usnews.com/news/best-states/slideshows/cities-with-the-largest-homeless-populations-in-the-u-s
Just as homelessness is distributed unevenly across the U.S. some demographics are also more likely to be affected. According to the 2024 Annual Homelessness
Assessment Report (AHAR) to Congress, released by the U.S. Department of Housing and Urban Development (HUD), people who identify as Black, African American, or African continue to be overrepresented among the population experiencing homelessness. 12% of the U.S. population identify as black, but 32% of people experiencing homelessness identify as Black. [2] U.S. Department of Housing and Urban Development, “The 2024 Annual Homelessness Assessment Report (AHAR) to Congress”, December 2024 https://www.huduser.gov/portal/sites/default/files/pdf/2024-AHAR-Part-1.pdf
Between 2023 and 2024, there was a 39% increase in families with children experiencing homelessness. Only one demographic was found to have a continued decline in homelessness. There were 8% less Veterans experiencing homelessness than in the 2023 report. The HUD credits this decline to targeted funding and initiatives. [2] U.S. Department of Housing and Urban Development, “The 2024 Annual Homelessness Assessment Report (AHAR) to Congress”, December 2024 https://www.huduser.gov/portal/sites/default/files/pdf/2024-AHAR-Part-1.pdf
According to the survey conducted on behalf of Self Financial, nearly all (85%) of respondents said homelessness was an issue in their area, and 58.1% said it had gotten worse in the past year.
Those living in the West region were most likely to say that homelessness was an issue in their area (90.6%) and also most likely to say it had gotten worse in the past year (68.8%).
| Is homelessness an issue in your area? | |
|---|---|
| Region | Respondents who answered yes |
| Midwest | 87.3% |
| Northeast | 81.2% |
| Southeast | 78.3% |
| Southwest | 87.7% |
| West | 90.6% |
How homelessness impacts communities
Homelessness doesn’t just affect the individuals experiencing it, it also has a ripple effect on the community at large. Because people who experience homelessness lack resources to keep themselves healthy, this can make health issues more dangerous and increase the health risks for others too. [6] Unity Parenting & Counselling, ‘How Homelessness Affects the Community’ https://unityparenting.org/homelessness-affects-the-community/
Homelessness also poses an economic problem to local communities. There are many reasons why, including incarceration costs and impacts on local economies and tourism. [6] Unity Parenting & Counselling, ‘How Homelessness Affects the Community’ https://unityparenting.org/homelessness-affects-the-community/ In the survey conducted on behalf of Self Financial, respondents were asked how homelessness affects their local community. The most common concerns respondents had was that homelessness lowers property values (41.9%), threatens public safety (38.2%) and reduces local business revenue (36.6%).
| The perceived negative impact of homelessness on the neighborhood | ||
|---|---|---|
| Rank | Reason | Percentage of respondents |
| 1 | Lower property values | 41.9% |
| 2 | Threatens public safety | 38.2% |
| 3 | Reduced local business revenue | 36.6% |
| 4 | Higher healthcare system costs | 28.7% |
| 5 | Less tourism | 14.1% |
Note: Respondents could select more than one answer.
Why do people experience homelessness in the U.S.?
Although there can be many factors that come into play in every individual case of homelessness, the survey asked the 841 respondents who had a personal experience of homelessness – meaning either they or someone in their family or friendship circle had experienced homelessness — to pick which factor they felt was the largest contributing factor.
One in five respondents (20.2%) chose unemployment as the greatest contributing factor, followed by domestic abuse (15.3%) and mental health issues (13.8%). Women were almost twice as likely as men to choose domestic abuse as the greatest cause (19.5% compared to 10.4%). Meanwhile, men were far more likely to choose unemployment as the leading cause compared to men (28.3% compared to 13.7%).
| The greatest contributing factor of homelessness | ||
|---|---|---|
| Rank | Factor | Percentage of respondents |
| 1 | Unemployment | 20.2% |
| 2 | Domestic abuse | 15.3% |
| 3 | Mental health issues | 13.8% |
| 4 | Conflict at home | 12.4% |
| 5 | Lack of affordable housing | 11.8% |
| 6 | Addiction | 8.3% |
| 7 | Financial mismanagement | 6.4% |
| 8 | Disability or chronic health issues | 5.1% |
| 9 | Eviction | 3.8% |
| 10 | Natural disaster or crisis (e.g. hurricane, COVID-19) | 2.0% |
| 11 | Gaps in foster care, re-entry programs, or veteran support | 0.8% |
How worried are respondents about experiencing homelessness?
Most people (71.2%) in the survey conducted for Self Financial admitted that they sometimes or often worry about experiencing homelessness. However, there were stark demographic differences in the concern.
Most people surveyed (71.2%) admitted that they sometimes or often worry about experiencing homelessness
According to the HUD December 2024 report, nearly 150,000 children experienced homelessness on a single night in 2024, reflecting a 33% increase from 2023 and the largest single-year increase of any group. [2] U.S. Department of Housing and Urban Development, “The 2024 Annual Homelessness Assessment Report (AHAR) to Congress”, December 2024 https://www.huduser.gov/portal/sites/default/files/pdf/2024-AHAR-Part-1.pdf
Respondents in the survey for Self Financial with children or dependents were twice as likely (38%) to frequently worry about experiencing homelessness compared to 17.4% of respondents without children or dependents.
How financially protected are people from experiencing homelessness?
An emergency fund is an accessible savings account with money to cover unforeseen expenses or emergencies. [7] Self Financial, ‘What Is an Emergency Fund? Plus, Why You Need One’, 2024 https://www.self.inc/blog/what-is-an-emergency-fund But how much did respondents actually have saved and how long would they be able to keep up rent or mortgage repayments if they lost their main source of income?
When asked how much they had saved, 19.8% of respondents said they had less than $100 in the bank – putting them at extreme risk to financially endure any unexpected costs. The median amount that people had saved in the study was between $1,000 - $4,999. To put this in perspective, according to a Self Financial report, the average rental unit cost in the U.S. is $2,018.57 per month. [8] Self Financial, ‘Rent Statistics U.S.’, 2025 https://www.self.inc/info/rent-statistics/
| How much accessible money do you have in savings? | |
|---|---|
| Amount | Percentage of respondents |
| $50,000–$99,999 | 3.0% |
| $100,000 or more | 4.1% |
| $25,000–$49,999 | 5.1% |
| $10,000–$24,999 | 9.5% |
| $5,000–$9,999 | 11.9% |
| $500–$999 | 12.3% |
| $1,000–$4,999 | 16.5% |
| $100–$499 | 17.8% |
| Less than $100 | 19.8% |
Running out of savings doesn’t necessarily mean you will experience homelessness. Other lifelines might include taking out credit or receiving financial support from friends or family. The survey directly asked respondents how long they felt they could afford housing for if they lost their main source of income.
One in three (34.7%) of respondents could only afford housing for a month or less if they lost their main source of income.
Just over a third, 34.7%, of respondents said that they could only afford housing for a month or less if they lost their main source of income. The median answer in the study was that a respondent was three months away from homelessness if they lost their main source of income.
| If they lost their main source of income, how long could respondents keep up housing costs? | |
|---|---|
| Time | Percentage of respondents |
| Less than a month | 18.4% |
| 1 month | 16.3% |
| 2 months | 18.9% |
| 3 months | 16.2% |
| 4 months | 7.8% |
| 5 months | 3.8% |
| 6 months | 5.4% |
| 7+ months | 13.2% |
What are people giving towards solving homelessness?
It’s important to note that not everyone panhandling is necessarily experiencing homelessness, but this can be a typical means of income for those who are.
Of the 1,054 people surveyed, 48.9% typically politely decline panhandling. A third of respondents (34.7%) typically give something and 15.3% ignore the person entirely. Only 1.1% reported responding with a hostile reaction.
Those with less are more likely to give: those who earned less than $25,000 were most likely to give to panhandlers (47.5% of the time). Meanwhile the highest earners were the most likely to be irritated by panhandlers (3.6% compared to the 1.1% average).
Rather than generosity increasing towards panhandlers the more money you earn, those that earn the least were the most likely to give. Those who earned less than $25,000 were most likely to regularly give (47.5% of the time). Meanwhile the highest earners in the study were the most likely to be irritated by those asking for money (3.6% compared to 1.1% average).
| Typically, when a homeless person asks you for something what is your response? | ||||
|---|---|---|---|---|
| Annual income | Give something/help | Politely decline | Ignore them | I'm irritated |
| Less than $25,000 | 47.5% | 40.7% | 10.5% | 1.2% |
| $25,000 - $49,999 | 45.5% | 42.7% | 11.1% | 0.8% |
| $50,000 - $74,999 | 22.6% | 56.7% | 20.0% | 0.7% |
| $75,000 - $99,999 | 41.2% | 42.7% | 14.5% | 1.5% |
| $100,000 or more | 28.9% | 53.0% | 14.5% | 3.6% |
| Overall average | 34.7% | 48.9% | 15.3% | 1.1% |
One form of panhandling that is typically illegal is aggressive panhandling. In the District of Columbia (DC) aggressive panhandling typically means that someone is being forceful or aggressive, and the definition can also include not soliciting within 10 feet of an ATM or on public transport. [9] Downton DC, ‘Facts About Panhandling’ https://www.downtowndc.org/program/foundation/homeless-services-2/facts-about-panhandling/
The majority of those surveyed (74.7%) have experienced aggressive panhandling and felt pressured to give money or supplies. One in four (25.1%) said they experience this often.
When asked why people chose not to give money on the streets, the most common reason was for personal finance reasons – they simply couldn’t afford to (35.1%). The next most common reasons were concern money could be misspent on drugs or alcohol (33.2%) and concerns that interacting might put them in danger (29.2%).
| Top reasons people don’t give money to people on the street | ||
|---|---|---|
| Rank | Reason | Percentage of respondents |
| 1 | Financial reasons | 35.1% |
| 2 | Concern money could be spent on drugs or alcohol | 33.2% |
| 3 | Interacting with people on the streets makes them feel unsafe | 29.2% |
| 4 | Giving to charities/ buying physical goods is more effective in solving the issue | 22.6% |
| 5 | There are other causes they would rather donate my money to | 19.3% |
| 6 | People who experience homelessness are undeserving of charity | 12.4% |
| 7 | It won't make any difference | 9.6% |
Note: Respondents could select more than one answer.
81.6% of respondents said if they earned more money they would donate more to help homelessness.
Two in five (41.3%) said they are donating less time, money or supplies than they used to and only 6.1% said they are giving more than they used to. Of those who are donating less than they once did, the most common reason (39.1%) was for their own financial reasons.
Consistent with this, 81.6% of respondents said if they earned more money they would donate more to people experiencing homelessness and related causes.
How much money are people willing to pay in taxes to help solve homelessness?
The majority of people – four in five people (81%) – believed that addressing the homelessness issue would save taxpayers money in the long run. Around half of people (52.1%) thought their local government should spend more money tackling the issue.
But given their own financial struggles, would people be willing to increase their taxes to help raise government funds to solve homelessness? Three-quarters of the survey’s respondents (76%) said they would be willing to increase their taxes to help – at an average increase of 2.5% percent across the board.
| How much more tax would you be willing to pay to help solve homelessness? | |
|---|---|
| Tax increase | Percentage of respondents |
| Nothing | 24.0% |
| Less than 1% | 17.6% |
| 1%-2.5% | 26.9% |
| 2.5-5% | 18.3% |
| 5-10% | 9.4% |
| 10-15% | 2.9% |
| 15-25% | 0.5% |
| 25%+ | 0.3% |
Alternative ways to solve homelessness
But how to solve the homelessness issue in America is a difficult and controversial topic. The survey proposed three popular – but divisive – ideas to respondents to gauge how they reacted.
In Canada in 2016, a study gave a group of 50 people experiencing homelessness a lump sum of $7,500. [10] The University of British Columbia, ‘We gave $7,500 to people experiencing homelessness — here’s what happened next’, September 2023 https://psych.ubc.ca/news/cash-transfers-to-people-experiencing-homelessness/ The study found that cash recipients spent 99 fewer days in homelessness on average over one year and that the cash transfers actually saved the government and taxpayers money (a reported $777 per person per year). [10] The University of British Columbia, ‘We gave $7,500 to people experiencing homelessness — here’s what happened next’, September 2023 https://psych.ubc.ca/news/cash-transfers-to-people-experiencing-homelessness/
When asked whether they thought giving a lump sum of $7,500 a year was a good idea, the most common answer respondents gave was that this was a risky idea (48.8%), and 15.2% of people even thought it might make the issue worse.
| What do you think about giving cash-aid directly to homeless people? | |
|---|---|
| Reason | Percentage of respondents |
| I think this is a risky idea | 48.8% |
| I think this is a good idea | 33.4% |
| I think this could make the situation worse, not better | 15.2% |
| I don't think homeless people deserve to be given money | 2.7% |
Another suggestion that has been made in the US is to move unsheltered people from cities and relocate them in ‘tent cities’ on inexpensive land, which was also popular with those surveyed. Three in five respondents (60.7%) thought that this plan would save taxpayers money.
Of the three proposals put to the respondents, the most popular solution in the study was to prioritize using empty or vacant land for housing for unhoused people rather than selling the land for a profit to private companies. Three-quarters (77.6%) of people surveyed thought this was a cost-effective course of action. For context in 2023, there were 45.9 empty homes for each person experiencing homelessness. [11] Self Financial, ‘Homelessness & Empty Homes - Trends & Analysis’ https://www.self.inc/info/empty-homes/
Methodology
A survey on behalf of Self Financial was conducted in January 2025 and asked 1,054 American adults questions about homelessness and personal finance. Questions covered the state of homelessness in their area, their personal experiences and anxieties about homelessness, how much they give to people experiencing homelessness and homelessness causes, and their opinions on public spending on homelessness.
The demographics of the respondents were:
Gender:
- Female 55.5%
- Male 43%
- Non-binary 0.9%
- Prefer not to say 0.7%
Age:
- 18 - 26 9.8%
- 27 - 42 66.7%
- 43 - 58 17.6%
- 59 - 68 4.1%
- 69+ 1.8%
Level of Income:
- Less than $25,000 15.4%
- $25,000 - $49,999 24%
- $50,000 - $74,999 40.3%
- $75,000 - $99,999 12.4%
- $100,000 or more 7.9%
Sources
- [1] NPR, ‘The Supreme Court says cities can punish people for sleeping in public places’, June 2024 https://www.npr.org/2024/06/28/nx-s1-4992010/supreme-court-homeless-punish-sleeping-encampments
- [2] U.S. Department of Housing and Urban Development, “The 2024 Annual Homelessness Assessment Report (AHAR) to Congress”, December 2024 https://www.huduser.gov/portal/sites/default/files/pdf/2024-AHAR-Part-1.pdf
- [3] Housing California, ‘Homelessness’ https://www.housingca.org/policy/focus/homelessness/
- [4] US Department of Housing and Urban Development, ‘Four Categories of the Homeless Definition’ https://www.hudexchange.info/homelessness-assistance/coc-esg-virtual-binders/coc-esg-homeless-eligibility/four-categories/
- [5] U.S. News & World Report, ‘The 25 Major U.S. Cities With the Largest Homeless Populations’, January 2025 https://www.usnews.com/news/best-states/slideshows/cities-with-the-largest-homeless-populations-in-the-u-s
- [6] Unity Parenting & Counselling, ‘How Homelessness Affects the Community’ https://unityparenting.org/homelessness-affects-the-community/
- [7] Self Financial, ‘What Is an Emergency Fund? Plus, Why You Need One’, 2024 https://www.self.inc/blog/what-is-an-emergency-fund
- [8] Self Financial, ‘Rent Statistics U.S.’, 2025 https://www.self.inc/info/rent-statistics/
- [9] Downton DC, ‘Facts About Panhandling’ https://www.downtowndc.org/program/foundation/homeless-services-2/facts-about-panhandling/
- [10] The University of British Columbia, ‘We gave $7,500 to people experiencing homelessness — here’s what happened next’, September 2023 https://psych.ubc.ca/news/cash-transfers-to-people-experiencing-homelessness/
- [11] Self Financial, ‘Homelessness & Empty Homes - Trends & Analysis’ https://www.self.inc/info/empty-homes/
