Saudi Press

Saudi Arabia and the world
Wednesday, Dec 24, 2025

America’s Health Crisis Is Becoming a Housing Crisis

America’s Health Crisis Is Becoming a Housing Crisis

The current housing crisis could get messy quickly, but fixing it shouldn’t be complicated, if Congress intervenes. A Lot of Americans Are About to Lose Their Homes.
The COVID-19 pandemic is a historical accelerant. It has compressed 10 years of online-shopping growth into a few months, bankrupted chains that were in steady decline, hastened Democratic gains in the Sun Belt, sped up an urban exodus from America’s most expensive cities, and persuaded my grandmother to finally use Instacart. All of this was bound to happen eventually. The coronavirus just mashed its big fat thumb on the fast-forward button.

And now a housing problem years in the making is dangerously close to spiraling out of control.

Before the pandemic, half of U.S renters spent 30 percent of their income on housing. The poorest quintile of Americans spent more than half their income on rent, on average. Even in a healthy economy, housing costs were eating workers’ wages.

Then the plague hit, and low-income workers were hit hardest. With the face-to-face economy shut down, the retail and leisure industries shed tens of millions of jobs in a matter of weeks. An analysis by the NYU Furman Center found that in New York City, the households most likely to face an “economic disruption”—including losing a job, or having hours cut back—spent the highest share of their income on housing.

Without intervention, the COVID-19-induced economic crisis is in danger of becoming a housing crisis. Data on rent payments are hard to come by, but one survey has found that a third of Americans say they failed to make a full housing payment in June. By September, more than 20 million renters will be at risk of eviction, especially as eviction moratoriums come to an end. Without income, renters can't pay rent and utilities. Without monthly payments, landlords and other companies can’t make mortgages and bond payments.

Perhaps this is all starting to sound like a redux of the mid-2000s housing crisis. It’s not. The Great Recession was driven in large part by declining standards in mortgage underwriting. When the bubble burst, foreclosures soared, homes stood empty, housing prices fell, homeownership rates fell, and more people rented in dense cities.

The 2020 housing market is the opposite, in almost every way. Demand for downtown apartments is deteriorating. Sales of newly built homes rose faster in June than any month since 2005. Watchdogs perceive no trouble in underwriting. Rather than too many houses, the hot market is defined by a historic undersupply of single-family and multifamily houses, thanks to a decade of insufficient building and, now, the shutdown of new construction in much of the country.

Still, one thing unites the crises of 2020 and 2008: the urgent need for intervention by the U.S government. The current housing crisis could get messy quickly, but fixing it shouldn’t be complicated. It will just take something that, unlike public-health competence, the federal government has in nearly infinite supply: money.

In March, Congress passed the CARES Act, which distributed a onetime stimulus check to tens of millions of households, expanded unemployment benefits by $600 a week (and made them available to self-employed and gig workers), and authorized the distribution of hundreds of billions of dollars to companies to keep them from laying off their workers. Meanwhile, dozens of cities and states passed moratoriums on evictions and foreclosures. Hurried and patchy as these programs might seem, they’ve largely worked to keep people in their homes. They need to be extended imminently, or a terrible economy will get far worse.

“There are two things we need to do right now,” says Bill McBride, an economic writer at the blog Calculated Risk. “First, we need to keep doing CARES Acts until this is over. If we run the debt up $10 trillion, it will be money saved. Second, we’ve got to get a grip on the pandemic, and that probably means shutting every indoor business down for a few months again and moving as much outdoors as we can.”

Pandemics are complicated, but pandemic economics is simple. Get families cash, or people will go hungry and lose their home. Get companies cash, or firms will fire their workers and disappear from their communities. Stop the pandemic, or else suffering and devastation will continue no matter how much cash we spend. The United States has been terrible at following the third rule. But in the next few weeks, Congress has a chance to do what it does best—appropriate money. If it doesn’t, we will all accelerate into a world nobody wants to live in.
Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Saudi Arabia’s 2025: A Pivotal Year of Global Engagement and Domestic Transformation
Saudi Arabia to Introduce Sugar-Content Based Tax on Sweetened Drinks from January 2026
Saudi Hotels Prepare for New Hospitality Roles as Alcohol Curbs Ease
Global Airports Forum Highlights Saudi Arabia’s Emergence as a Leading Aviation Powerhouse
Saudi Arabia Weighs Strategic Choice on Iran Amid Regional Turbulence
Not Only F-35s: Saudi Arabia to Gain Access to the World’s Most Sensitive Technology
Saudi Arabia Condemns Sydney Bondi Beach Shooting and Expresses Solidarity with Australia
Washington Watches Beijing–Riyadh Rapprochement as Strategic Balance Shifts
Saudi Arabia Urges Stronger Partnerships and Efficient Aid Delivery at OCHA Donor Support Meeting in Geneva
Saudi Arabia’s Vision 2030 Drives Measurable Lift in Global Reputation and Influence
Alcohol Policies Vary Widely Across Muslim-Majority Countries, With Many Permitting Consumption Under Specific Rules
Saudi Arabia Clarifies No Formal Ban on Photography at Holy Mosques for Hajj 2026
Libya and Saudi Arabia Sign Strategic MoU to Boost Telecommunications Cooperation
Elon Musk’s xAI Announces Landmark 500-Megawatt AI Data Center in Saudi Arabia
Israel Moves to Safeguard Regional Stability as F-35 Sales Debate Intensifies
Cardi B to Make Historic Saudi Arabia Debut at Soundstorm 2025 Festival
U.S. Democratic Lawmakers Raise National Security and Influence Concerns Over Paramount’s Hostile Bid for Warner Bros. Discovery
Hackers Are Hiding Malware in Open-Source Tools and IDE Extensions
Traveling to USA? Homeland Security moving toward requiring foreign travelers to share social media history
Wall Street Analysts Clash With Riyadh Over Saudi Arabia’s Deficit Outlook
Trump and Saudi Crown Prince Cement $1 Trillion-Plus Deals in High-Profile White House Summit
Saudi Arabia Opens Alcohol Sales to Wealthy Non-Muslim Residents Under New Access Rules
U.S.–Saudi Rethink Deepens — Washington Moves Ahead Without Linking Riyadh to Israel Normalisation
Saudi Arabia and Israel Deprioritise Diplomacy: Normalisation No Longer a Middle-East Priority
Saudi Arabia Positions Itself as the Backbone of the Global AI Era
As Trump Deepens Ties with Saudi Arabia, Push for Israel Normalization Takes a Back Seat
Thai Food Village Debuts at Saudi Feast Food Festival 2025 Under Thai Commerce Minister Suphajee’s Lead
Saudi Arabia Sharpens Its Strategic Vision as Economic Transformation Enters New Phase
Saudi Arabia Projects $44 Billion Budget Shortfall in 2026 as Economy Rebalances
OPEC+ Unveils New Capacity-Based System to Anchor Future Oil Output Levels
Will Saudi Arabia End Up Bankrolling Israel’s Post-Ceasefire Order in Lebanon?
Saudi Arabia’s SAMAI Initiative Surpasses One-Million-Citizen Milestone in National AI Upskilling Drive
Saudi Arabia’s Specialty Coffee Market Set to Surge as Demand Soars and New Exhibition Drops in December
Saudi Arabia Moves to Open Two New Alcohol Stores for Foreigners Under Vision 2030 Reform
Saudi Arabia’s AI Ambitions Gain Momentum — but Water, Talent and Infrastructure Pose Major Hurdles
Tensions Surface in Trump-MBS Talks as Saudi Pushes Back on Israel Normalisation
Saudi Arabia Signals Major Maritime Crack-Down on Houthi Routes in Red Sea
Italy and Saudi Arabia Seal Over 20 Strategic Deals at Business Forum in Riyadh
COP30 Ends Without Fossil Fuel Phase-Out as US, Saudi Arabia and Russia Align in Obstruction Role
Saudi-Portuguese Economic Horizons Expand Through Strategic Business Council
DHL Commits $150 Million for Landmark Logistics Hub in Saudi Arabia
Saudi Aramco Weighs Disposals Amid $10 Billion-Plus Asset Sales Discussion
Trump Hosts Saudi Crown Prince for Major Defence and Investment Agreements
Families Accuse OpenAI of Enabling ‘AI-Driven Delusions’ After Multiple Suicides
Riyadh Metro Records Over One Hundred Million Journeys as Saudi Capital Accelerates Transit Era
Trump’s Grand Saudi Welcome Highlights U.S.–Riyadh Pivot as Israel Watches Warily
U.S. Set to Sell F-35 Jets to Saudi Arabia in Major Strategic Shift
Saudi Arabia Doubles Down on U.S. Partnership in Strategic Move
Saudi Arabia Charts Tech and Nuclear Leap Under Crown Prince’s U.S. Visit
Trump Elevates Saudi Arabia to Major Non-NATO Ally Amid Defense Deal
×