Indianapolis renters face growing affordability crisis, report reveals
INDIANAPOLIS (WISH) – The Fair Housing Center of Central Indiana has released a report outlining the growing challenges renters face in trying to secure affordable housing.
Finding from the report, State of Fair Housing Report – Rising Rental Burdens in the Indianapolis Metro:
- Half of all renters in Marion County are cost-burdened, meaning they spend 30% or more of their monthly income on rent and utilities.
- A quarter of renters spend 50% or more of their income on housing.
- Among households headed by older people, or people with disabilities, over 60% are rent-burdened, and nearly 40% are severely cost-burdened.
- Additionally, the standard definition of housing cost burden — spending 30% or more of income on housing costs — is too narrow and does not account for additional factors that renters face.
The Massachusetts Institute of Technology spearheads a Living Wage Calculator that show, in Marion County, a single parent with two children would have to make $100,849 a year, with only 8.5% spent on housing, to afford other basic expenses including child care, food, medical costs, and transportation.
Comparatively, in 2025, the average asking rent for a market-rate apartment in the Indianapolis metro area was $1,339, up from $899 in 2015, a near 50% increase.
Also, rent prices for single-family homes increased by over 40% from 2019 to 2025, reaching a median high of $1,625 in Marion County and $1,800 in the Indianapolis metro area.
The report also raises alarms about the area’s rental vacancy rate, which reached a 15-year-plus low of 3.9% in 2024 in Marion County, and 4.2% in the Indianapolis metro area. That’s considered far below a healthy vacancy rate.
The report says when vacancy rates are low, renters seeking new housing may be unable to find it, forcing them to stay unhoused or in units that may be overcrowded, unaffordable, or even unsafe.
According to the National Low Income Housing Coalition, the Indianapolis metro area has only 32 affordable and available rental units for every 100 households in the lowest income category of renters. That’s a deficit of 49,000 units. For renters in the second-to-lowest income category of renters, the coalition identified only 70 affordable and available rental units for every 100 households, a deficit of nearly 35,000 units.
From 2-3:30 p.m. Eastern time Dec. 16, the Fair Housing Center of Central Indiana will host a webinar review of the report’s findings.











