USC Dornsife Study Reveals Impact of Homelessness and High Rents on Angelenos

More than 9 in 10 Los Angeles County residents say homelessness is a pressing issue, and 64% feel its impact in their neighborhoods, according to the most recent findings from the USC Dornsife annual LABarometer survey on livability and affordability in L.A.

Two-thirds of county residents see an unhoused person daily, while 1 in 5 knows someone who is unhoused. Additionally, nearly 10% (1 million) have experienced homelessness themselves at some point in their lives.

The survey also highlights the solutions Angelenos support to address homelessness and sheds light on how residents are coping with rising rents and financial pressures. Less than half feel satisfied with their current financial situation.

Conducted by the Center for Economic and Social Research (CESR) at the USC Dornsife College of Letters, Arts and Sciences, the survey was done in collaboration with the USC Homelessness Policy Research Institute (HPRI), a joint venture of the USC Suzanne Dworak-Peck School of Social Work and USC Sol Price School of Public Policy.

Favored solutions to homelessness vary

Angelenos widely support the construction of affordable housing and the expansion of mental health services to tackle the homelessness crisis, but their preferred strategies often diverge based on social and economic standing.

For example, homeowners are much less likely than renters to support policies such as affordable housing, vouchers and rent control. Homeowners, on the other hand, are more likely than renters to support encampment sweeps.

The breakdown looks like this: Renters are 20% more likely to favor rent control than homeowners, while homeowners are 6% more likely than renters to support encampment sweeps. But both groups are more likely to support sweeps when they perceive homelessness as a problem in their neighborhood

“The divide between renters and homeowners over how to tackle the homelessness crisis highlights how economic standing shapes people’s priorities,” said Kyla Thomas, director of LABarometer at CESR.

When all participants were asked to prioritize their top three approaches to reducing homelessness, there was no clear consensus:

• 54% favor mental health and drug treatment
• 47% support rent control
• 42% support building affordable housing

Perceived causes of homelessness depend on experience

What are the major causes of homelessness? Opinions differ depending on who has experienced it. Among Angelenos who have experienced homelessness:

• 90% cite the high cost of housing as a major cause
• 42% mention racism and discrimination as a major cause

Among those who have never lived on the streets, 76% cite the cost of housing and 29% cite racism and discrimination as major causes.

A large majority (85%) of both groups perceive mental illness and addiction as major contributing factors, though the Los Angeles Homeless Services Authority’s 2024 Homeless Count found that only a quarter of unhoused adults reported a serious mental illness or substance use disorder.

“It’s surprising that mental health and addiction is more top-of-mind as a driver of homelessness than housing affordability” said Jared Schachner, research scientist at the USC Homelessness Policy Research Institute. “This underscores the need for better educating the public regarding the structural factors that contribute to homelessness.”

Those who had previously been unhoused were 13 percentage points more likely to cite racism and discrimination as major contributors to homelessness than those who hadn’t. Notably, 21% of Black respondents say they have been unhoused at some point in their lives, the highest rate among all racial groups surveyed.

“These findings highlight the relationship between racism and poverty in L.A. County. L.A.’s homelessness problem is both a cause and consequence of longstanding racial inequities,” said Thomas. She noted that these disparities persist, even when accounting for income and education levels.

Housing challenges persist in L.A. County

As Angelenos grapple with pervasive homelessness, many also struggle with high rents. The average rent in Los Angeles is 39% above the national average, according to Apartments.com. Among residents who moved in the last 12 months, 29% say they were forced to relocate due to rising rents, a significant increase from 20% in 2023 and just 13% in 2022.

Despite rising rents, most residents plan to stay put. Only 8% of respondents said they intend to move to a new residence within L.A. County in the next year, though 29% of respondents wish they could move somewhere else in L.A.

Just 2% of Angelenos plan to move out of L.A. in the next year, though 24% of respondents wish they could leave. However, among those planning to leave L.A., 27% said they don’t have a strong desire to move, suggesting they may be priced out or moving for reasons unrelated to housing preference.

To assess the extent of housing instability among adults, respondents were asked if they had spent a month or more in an unstable living situation — such as couch surfing, staying in a hotel, living in a car, staying in a shelter, or being on the street. About 23% said they had experienced housing insecurity at some point in their life.

Amid these challenges, the survey reveals some bright spots:

• Food insecurity has dropped from 16% last year to 13%
• 66% of residents report satisfaction with their neighborhood
• 62% are satisfied with their lives overall

About LABarometer

LABarometer is a research center housed at the USC Dornsife Center for Economic and Social Research. The LABarometer survey monitors social and economic conditions in Los Angeles County, focusing on four key issues: livability, affordability, mobility and sustainability. LABarometer surveys are fielded on a biannual basis to a representative panel of approximately 2,000 adults randomly selected from households throughout the county.

This fifth wave of the Livability & Affordability survey includes a new module developed in collaboration with USC’s Homelessness Policy Research Institute to better understand the problem of homelessness in L.A. County. The survey was conducted from June 24 to Oct. 15, and 1,507 residents participated. By tracking the same residents over time, LABarometer aims to capture trends and shifts in residents’ attitudes and circumstances, allowing decision-makers in the public and private sectors to better understand the evolving lives and needs of L.A. County residents.