Page 75 - 2015 Compass Now

A general rule of thumb is that a household should spend a maximum of 25% of their income on housing
costs7. However, on average, 21% of both home owners and renters in the Great Rivers Region spend 25-
34.9% of their income on housing. See Table 4 for county-specific breakdowns for homeowners and Table
5 for renters. Table 4 shows that an average of 20.9% of homeowners in the Great Rivers Region spends
25-34.9% of their total income on housing costs, while 23.4% of homeowners spend 35% or more of total
income on housing costs. Table 5 shows that 21.4% of renters in the Great Rivers Region spend between
25-34.9% of total income on housing costs, while 33.6% of renters spend 35% or more of their total income
on housing costs. Spending more than 25% of household income on housing costs impacts the amount of
money available for emergencies, food, other debts, transportation expenses, and other unforeseen costs,
as well as the ability to save for the future.

Table 4: Percentage of Income Homeowners Spend on Housing

County/Region 25-34.9% of Income 35% or More of Income
Spent on Housing Spent on Housing

La Crosse 21.5% 23.7%

Monroe 21.4% 22.0%

Trempealeau 20.5% 24.2%

Vernon 20.6% 26.6%

Houston 20.5% 20.7%

Wisconsin 21.5% 23.7%

Minnesota 21.2% 22.0%

United States 8.4% 11.8%

Source: U.S. Census Bureau 2009-2013 5-Year American Community Survey

Table 5: Percent of Income Renters Spend on Housing

County/Region 25-34.9% of Income 35% or More of Income INCOME/ECONOMIC
Spent on Housing Spent on Housing

La Crosse 20.5% 39.8%

Monroe 19.5% 32.6%

Trempealeau 23.2% 26.1%

Vernon 19.0% 33.4%

Houston 24.7% 36.3%

Wisconsin 20.5% 39.8%

Minnesota 21.6% 40.0%

United States 20.7% 43.2%

Source: U.S. Census Bureau 2009-2013 5-Year American Community Survey

Housing is generally considered affordable if the total cost, including rent or mortgage, property taxes,
insurances and utilities, does not exceed 30% of the household income. According to the COMPASS NOW
2015 Random Household Survey, the majority of residents gave a rating of good or excellent with regards
to the availability of affordable, quality housing in their community (see Figure 4). In addition, an average
of 23% of homeowners and nearly 34% of renters in the Great Rivers Region spent 35% or more of their
income on housing.

COMPASS NOW 2015 67