Prosperity Indiana Thanks Senator Young for Supporting Hoosiers' Housing Stability through Newly Reintroduced Legislation 

Senator Young receives letter signed by Prosperity Indiana partners encouraging him to reintroduce the Eviction Crisis Act and Family Stability and Opportunity Vouchers Act.

INDIANAPOLIS – Prosperity Indiana thanks Senator Todd Young for taking action to address Indiana's housing affordability crisis by reintroducing the Eviction Crisis Act and the Family Stability and Opportunity Vouchers Act. Prosperity Indiana encourages Hoosiers to reach out to thank Senator Young for standing with Hoosiers who believe stable housing is an essential foundation for better futures and strong communities and urge other members of Indiana's Congressional delegation to speedily pass both bills. 

Both the Eviction Crisis Act and the Family Stability and Opportunity Vouchers Act are top priorities of Prosperity Indiana's statewide community economic development network, the Hoosier Housing Needs Coalition, and national partners such as the National Low Income Housing Coalition. Prosperity Indiana and partners have steadfastly supported Senator Young's efforts to advance this legislation, including through a letter signed by 75 Hoosier organizations encouraging the bills' reintroduction.  

The Eviction Crisis Act, reintroduced on September 24, would reduce preventable evictions by supporting prevention and diversion programs, preventing inaccurate information on tenant screening reports, and improving data collection and analysis on evictions at the national level. Indiana has one of the highest eviction rates in the country and has seen over 71,000 evictions filed over the last 12 months, nearly one eviction  for every 10 Hoosier renter households. Among other promising provisions, the legislation includes the creation of an Emergency Assistance Program to test, evaluate, and expand proven interventions to help low-income households facing housing instability due to an unexpected economic shock.  

“On the receiving end of any eviction notice is a household facing a crisis, one that threatens to destabilize them physically, emotionally, and financially," said Aspen Clemons, Executive Director of Prosperity Indiana. "We know that eviction can be a very short and narrow road to homelessness. We are grateful to see the Eviction Crisis Act back under consideration in the Senate as the data tells us that it is as necessary now as it was five years ago."  

The Family Stability and Economic Vouchers Act, reintroduced on September 16, would create an additional 250,000 housing vouchers specifically designed for low-income families with young children to expand their access to well-resourced neighborhoods with high-performing schools, strong job prospects, and other opportunities. This legislation would significantly reduce homelessness among families with young children and substantially decrease the number of children growing up in areas of concentrated poverty.   

Indiana currently has a profound deficit of homes that are affordable to these residents, requiring an additional 134,000 units of deeply affordable housing to meet the state’s needs. One in 4 Hoosiers, or 211,000, qualifies as extremely low-income, earning 30% or less than the state’s area median income (AMI). The housing cost burden for these residents is severe, with 74% spending more than half of their income to stay housed. Half of the state’s extremely low-income renters are seniors or people with a disability. An additional third are in the workforce, but the majority of Indiana’s most common occupations do not guarantee earnings sufficient to secure a modest 2-bedroom apartment, which would require reliable 40-hour weeks at a wage of $24.13 per hour. 

“Prosperity Indiana applauds Senator Young and Senator Van Hollen for reintroducing the Family Stability and Opportunity Vouchers Act,” said Clemons. “If passed into law, this legislation would help to address Indiana’s housing affordability crisis. Indiana is tied for the lowest rate of housing supply in the Midwestwhen it comes to our lowest-income residents. Too many Hoosiers, even if they’re working full-time,are oneunexpected expense away from housing insecurity and homelessness. This legislation is an important step to providing housing and economic opportunity for all Hoosier and American families.” 

These bills will not help Hoosiers unless they are passed by Congress and made law by the time that the 119^th Congress ends on January 3, 2027. If that deadline passes, each piece of legislation would have to be reintroduced again, and the process would start over. To capitalize on the momentum of these recent reintroductions, Prosperity Indiana encourages Hoosiers to contact their Representatives and Senators urge them to speedily pass both bills when Congress reconvenes following November's midterm elections. 

Indiana's housing affordability crisis now threatens community, workforce, and economic growth

INDIANAPOLIS, IN – The hourly wage needed for Hoosier renters to afford a modest home has increased much faster than Hoosier renter wages, leaving the average household with $7,696 less annually in purchasing power compared to just three years ago. This is according to Out of Reach – Indiana 2026, co-released by Prosperity Indiana and the National Low Income Housing Coalition, which also finds that together, the median wage of all occupations in Indiana no longer pays enough to make rent for the typical Hoosier household. Without targeted policy change to address housing affordability and economic opportunity by Indiana's policymakers, the report's findings reveal a deep threat to the state's prospects for community, workforce, and economic growth.  

Out of Reach, released annually, documents the gulf between wages and what people need to earn to afford their rents. The report routinely shows that affordable rental homes remain out of reach for millions of low-wage workers and their families nationwide. The report’s Housing Wage is an estimate of the hourly wage full-time workers must earn to afford a rental home at HUD’s Fair Market Rent (FMR) without spending more than 30% of their income.

See Prosperity Indiana's chart of changes in Indiana's Housing Wage and Average Renter Wages for the state, major metro areas, and counties. 

The full report is accessible now on Housing4Hoosiers.org. 

Click here to read the full Out of Reach – Indiana 2026 Report.

About Prosperity Indiana

The Indiana Association for Community Economic Development d/b/a Prosperity Indiana builds a better future for our communities by providing advocacy, leveraging resources, and engaging an empowered network of members to create inclusive opportunities that build assets and improve lives. Since its founding in 1986, Prosperity Indiana’s network has grown to nearly 200 organizations, representing thousands of practitioners statewide from the public, private, and nonprofit sectors.

About NLIHC

The National Low Income Housing Coalition is dedicated to achieving racially and socially equitable public policy that ensures people with the lowest incomes have quality homes that are accessible and affordable in communities of their choice.

Prosperity Indiana, the Association of Indiana Municipalities (AIM), and the National Community Reinvestment Coalition (NCRC) recently came together for a webinar to encourage members and other Indiana stakeholders to collaborate on nominations for the state’s allocation of the federal Opportunity Zones 2.0 program, with a nomination window that is open through July 17, 2025.

See the video of the webinar here.

The Opportunity Zone program has been modified substantially from its first to second iteration and includes new potential for local governments and community economic development organizations to partner on OZ 2.0 nominations to maximize this opportunity for low-to-moderate income Hoosiers.

Opportunity Zones 2.0 (OZ 2.0) is an updated federal investment incentive program created under the 2025 One Big Beautiful Bill Act (OBBBA). It provides tax benefits to encourage private investment in low-income census tracts. OZ 1.0 resulted in over $100 billion in capital investment, which primarily went to market-rate housing developments. Some of the key changes from the original program are that:

• The program is now permanent with a new 10-year designation cycle.

• Tracts nominated in 2026 will remain designated through 2036.

• Stricter eligibility rules and new reporting requirements will apply.

• Enhanced incentives are available for rural areas.

As discussed in the webinar, the following resources may be helpful to assist potential nominations, including:

• Indiana Economic Development Corp.’s Indiana Opportunity Zones page, which includes key deadlines and guidelines for nominations, as well as a PDF copy of the nomination form to serve as a guide to walk through the online nomination portal. IEDC is also hosting an Indiana Opportunity Zone Webinar on June 24.

• NCRC’s Opportunity Zones 2.0: What You Need to Know and How to Act Now page, including an interactive mapping application to identify eligible census tracts and assess community conditions.

Additional housing and economic data resources include:

• The Gap-Indiana 2026, on affordable rental housing supply and cost burden, from Prosperity Indiana and NLIHC.

• Out of Reach-Indiana 2025, on the income and jobs necessary to afford rental housing in Indiana, from Prosperity Indiana and NLIHC.

• The Indiana Housing Dashboard, a platform for users to track demographic and housing trends across the state at a county-by-county level, from IHCDA.

This is a once-in-a-decade opportunity to shape where private investment flows in your community. The designation process is competitive — and time is short. Best of luck to all in your collaborations to strengthen Indiana’s pool of nominations!

What is ‘The Gap’ in Affordable Homes in your County, State Legislative District, and Congressional District? 

Every Indiana county, state legislative district, and Congressional district has a gap in affordable homes and a rate of severe housing cost burden that is concentrated at the lower end of the income spectrum, according to new data released by Prosperity Indiana and the National Low Income Housing Coalition.  

See the updated 2026 ‘The Gap’ local and district data maps at Prosperity Indiana’s Housing4Hoosiers page: https://housing4hoosiers.org/the-gap-2026-maps/

The new data, released as a supplement to the Indiana 2026 edition of The Gap: A Shortage of Affordable Homes adds additional perspectives on the lack of supply of affordable rental homes and the rate of housing cost burden by county and legislative districts at the state House, Senate, and Congressional levels.  

This new data provides insights into the state-level report's finding that Indiana's rate of affordable and available rental homes for the most vulnerable renter households is now tied for lowest in the Midwest and is below the national average, with only 34 affordable and available homes for every 100 extremely low income (ELI) Hoosier renter households. The state-level report also found that the rate of severe housing cost burden for ELI households is now second-highest in the Midwest at 74%. 

The new county and district-level data demonstrate that Indiana’s housing shortage and affordability crisis is statewide and affects rural, suburban, and urban communities alike. In every Indiana county and state and Congressional district, the gap in affordable and available rental homes is primarily experienced by ELI households (those making below 30% of area median income) and very low-income households (those making below 50% of area median income). Those extremely- and very-low-income households are also the most likely to be severely housing cost burdened, meaning they must spend more than half of their monthly income on housing costs. 

With Indiana tied for the top ‘hot spot’ for lack of affordable homes in the Midwest, many Indiana counties and legislative districts below the state average of 34 affordable and available homes per 100 ELI households are now ‘hot spots within a hot spot’ for unaffordability. For example: 

• In the Indiana Senate, there are no more than 55 affordable and available homes for every 100 ELI renter households in any district, and as few as 12 (District 29).  

• In the Indiana House there are no more than 59 affordable and available homes for every 100 ELI renter households in any district, and as few as 1 (District 39). 

• Among Indiana’s Congressional Districts, there are no more than 40 affordable and available homes for every 100 ELI renter households in any district, and as few as 25 (District 7). 

• Among all 92 Indiana Counties, there are no more than 83 affordable and available homes for every 100 ELI renter households in any county, and as few as 14 (Tippecanoe County). 

The maps can also be used to find the deficit of affordable and available homes, and the rate of severe housing cost burden for ELI households at the county, Congressional, and state legislative district. 

Throughout 2026, Prosperity Indiana will use the data in these maps as part of participation in the national Our Homes, Our Votes nonpartisan voter education and candidate engagement initiative. Partners are encouraged to use these maps and data when asking state and federal candidates and elected officials about their plans to address Indiana’s housing supply and affordability crisis. Prosperity Indiana staff are also available to answer questions about ‘The Gap’ and can provide members with additional analysis about the data affecting their service areas. 

Data for these maps was provided by the National Low Income Housing Coalition, with maps and analysis provided by Prosperity Indiana. The source for the data is HUD’s Comprehensive Housing Affordability Strategy (CHAS) data for 2018-22, the most recent available for the geographic levels presented here.

INDIANAPOLIS – Indiana’s rate of affordable and available rental homes for the most vulnerable renter households is now tied for lowest in the Midwest and is below the national average, according to a new report published by Prosperity Indiana and the National Low Income Housing Coalition (NLIHC).  

The report, The Gap: A Shortage of Affordable Homes finds a national shortage of 7.2 million affordable and available rental homes for extremely low-income renter households – those with incomes at or below the poverty level or 30% of their area median income, whichever is greater - resulting in just 35 affordable and available rental homes for every 100 extremely low-income renter households nationwide. The report also reveals that there are 210,668 extremely low-income households in Indiana, and just 34 affordable and available rental homes for every 100 of these households in our state, leaving a gap of 137,138 units needed statewide. Indiana’s rate of affordable housing is now not only below the national average but is tied with Illinois for the lowest among all Midwest states. These findings come amidst ongoing attacks on federal housing resources and a lack of investments at the state level targeted at increasing housing supply for low- and moderate-income Hoosiers. 

Released annually, The Gap investigates the affordability and availability of rental homes for households of different income levels nationwide and in every state and major metropolitan area. The supply of affordable rental housing for extremely low-income households remains deeply inadequate both nationally and in Indiana. As a result, 74% of extremely low-income Hoosier renters are severely housing cost-burdened, spending more than 50% of their income on housing, with little leftover for food, healthcare, and other basic necessities. Indiana’s rate of severe housing cost burden matches the U.S. average and is tied with Illinois for second highest in the Midwest, behind only Michigan.  

The Gap in the supply of affordable housing in Indiana is concentrated at the lower end of the income distribution spectrum. The deficit of 137,138 rental homes for the state’s 210,668 extremely low-income renter households produces the lowest rate of affordable and available housing at only 34 affordable and available units for every 100 households. As incomes increase, so does the rate of affordable and available rental homes, with 64 units for every 100 households at or below 50% of area median income; 100 units for every 100 households those at or below 80% area median income; and 104 units for every 100 households at or below the state’s median income. 

Affordability and the cost burden of rental housing in Indiana is also highly dependent on income. 74% of all extremely low-income Hoosier renter households are ‘severely cost burdened’, meaning they pay half or more of their income on housing costs, including rent and utilities. By contrast, very low-income households (those between 30-50% area median income) have a severe housing cost burden rate of 26%. Just 5% of low-income households (between 50-80% area median income), and only 1% of those between 80% and the state’s median income are severely cost burdened. 

The private market, without subsidy, is unable to provide an adequate supply of housing affordable to the lowest-income renters. What extremely low-income renters can afford to pay for rent does not cover the development and operating costs of new housing, and it often is not sufficient to provide an incentive for landlords to maintain older housing. The result is a systemic shortage of affordable housing for extremely low-income renters impacting nearly every community, including those across Indiana. Subsidies are needed to produce new affordable housing, preserve existing affordable housing, or subsidize the difference between what the lowest-income renters can afford to pay and market rents.  

“The findings from The Gap show that no state or major metropolitan area has an adequate supply of affordable and available homes for extremely low-income renters,” said NLIHC President and CEO Renee M. Willis, “It is a sad fact that only one in four households who qualify for housing assistance receive it. When renters are housing cost-burdened, they cannot afford to cover other basic necessities such as food, healthcare, transportation, or childcare. Congress has the solutions to increase housing affordability across the country. They must support robust housing assistance programs that can alleviate the housing crisis and ensure the wellbeing of millions of the lowest-income renters.” 

Learn more about The Gap by visiting: https://nlihc.org/gap 

Prosperity Indiana will release exclusive additional data and maps from ‘The Gap’ at the county, state legislative district, and Congressional district levels on Tuesday, March 17 at: https://www.prosperityindiana.org/  

Prosperity Indiana 2026 Session Wrap-Up: Short session takes ‘two steps back’ on housing and economic opportunity for Hoosiers

Legislature must make needed investments in 2027 budget session 

Ahead of the 2026 session of the Indiana General Assembly, Prosperity Indiana sounded the alarm that Indiana has become an unaffordable state, not only for Hoosier households whose incomes have not kept up with rising housing and other basic costs, but also for the community organizations who serve them. Our 2026 Policy Agenda offered solutions to increase affordability for Hoosier households as well as to strengthen the capacity of the organizations who provide housing and economic opportunity for all Hoosiers. 

Unfortunately, throughout the 2026 session, the Indiana General Assembly took too few steps to strengthen Indiana’s communities by making housing more affordable and expanding economic opportunity for low- and moderate-income Hoosiers.  

PI member priority legislation largely did not advance 

The General Assembly largely failed to advance legislation resulting directly from PI member priorities, including SB 205 Development of affordable housing (Sen. Shelli Yoder), which would have lowered zoning barriers for the development of housing affordable at or below 80% area median income on properties owned by religious organizations, although a similar concept was recommended for interim study through HB 1001 Housing matters (Rep. Doug Miller). SB 181 Notice of eviction (Sen. Liz Brown) was a careful measure to close a loophole and strengthen Indiana’s eviction notice laws, but did not get a committee hearing. SB 104 Landlord nexus (Sen. Fady Qaddoura) tackled the problem of unaccountable out-of-state investors by requiring large landlords to have a meaningful in-state presence, but similarly did not get a hearing. And HB 1411 Tax sale procedures (Rep. Karen Engleman) would have helped the state’s land banks preserve and redevelop blighted properties by reducing the time it takes to acquire them. But despite approval from influential appropriators, the language did not make it into legislation that passed the finish line. 

Instead of these opportunities to meaningfully strengthen community economic development this session, too often the legislature ‘took one step forward’ by relying on indirect or delayed benefits at best, and in some cases, ‘took two steps back’ with legislation that threatens the most vulnerable Hoosiers, particularly SB 285 and SB 1.  

Here are several key pieces across Prosperity Indiana’s issue areas that passed this session: 

Affordable Housing and Community Development 

HB 1001 Housing matters (Rep. Doug Miller), the House Majority’s top priority legislation, had the stated goal to “expand Indiana’s housing supply and drive down costs of home ownership" by “rolling back costly regulations that impede development”, ultimately through providing local governments with the ability to opt-out of preemptions on housing development regulations. However, even though Indiana’s largest housing gaps exist among low-income Hoosiers and communities, the final version of the bill included few targeted remedies or resources. 

Prosperity Indiana Executive Director Aspen Clemons appeared on Indiana Lawmakers alongside the bill author and Fishers Mayor Scott Fadness to discuss how the bill could potentially address Indiana’s housing needs. Aspen also testified that the bill was a "necessary first step in addressing Indiana’s growing housing crisis" and called on the General Assembly to follow through on the bill’s call for a task force on PI priority ‘Yes In God’s Back Yard’ affordable housing development. PI also supported HB 1001’s creation of a new definition for Accessory Dwelling Units and makes them a permitted use in many residential areas unless local governments opt out before the end of 2026.  

SB 285 Housing matters (Sen. Cyndi Carrasco) was the fifth bill over the past three sessions to include wrongheaded legislative language directly from the Cicero Institute that would require local law enforcement to fine, ticket, and jail homeless Hoosiers for sleeping outside whether housing and services are available or not. Perhaps because Indiana’s community economic development stakeholders were not included in the development of the legislation, SB 285 also ended up with confusing language that will require law enforcement to determine whether individuals meet a new definition of ‘gravely disabled’ mental illness, and if not, are required to proceed with a new Class C misdemeanor pathway. And while a late amendment provides individuals with a defense in court against the misdemeanor charge if no services exist, that will only come after arrest and being held in jail. PI estimated that if Indiana follows the example of Kentucky, which passed a similar law in 2024, 14,000 bed nights in jails throughout Indiana will annually be required to be filled with homeless Hoosiers instead of true threats to public safety. The bill also included no new housing, services, or resources to address homelessness. 

Unfortunately, unlike in previous sessions when the legislature rejected this dangerous legislation four times, this year the legislation narrowly passed the threshold of Constitutional majority in the House and the Senate before heading to Governor Braun’s signature. 

Asset-Building and Consumer Protections 

In a positive outcome, HB 1116 Virtual currency kiosks (Rep. Wendy McNamara), which would bar these ATM-like machines that have become the vehicle for rampant fraud, passed with strong bipartisan majorities. However, bills to mitigate the worst harms of medical debt had mixed outcomes. The bills that would have provided the most robust protections for patients died after passing through one chamber or did not receive hearings at all. HB 1271 Payment of health claims (Rep. Julie McGuire) did ultimately pass and will require hospitals to disclose information about payment assistance programs and make reasonable efforts to inform patients about those plans before pursuing collections. Much work remains to be done. 

SB 1 Human services matters (Sen. Chris Garten) however, which will create new barriers and obstacles to stabilizing benefits like SNAP and Medicaid, headed to the Governor’s desk for signature. This will make it more difficult and costly for Indiana’s most financially vulnerable households to remain fed and access healthcare. 

Investments in housing and economic opportunity needed in next budget session 

With so many missed opportunities this session to increase housing affordability and strengthen economic opportunities for Hoosiers and the community organizations who serve them, there is an even more urgent need for Indiana’s policymakers to be laser-focused on shaping policies and investments in the 2027 state budget session to address those issues. With the 2026 session as a lesson, lawmakers must resolve to include Hoosiers and community stakeholders in the process of creating legislation, or else risk additional laws that increase inefficiencies, waste resources, and harm the very Hoosiers they represent. Indiana’s non-profits and community economic development sector must also proactively reach out to build relationships and educate lawmakers about the housing and economic needs they experience, and then hold lawmakers accountable for implementing solutions. 

INDIANAPOLIS, IN – Yesterday, SB 285 ‘Housing Matters’, authored by Sen. Cyndi Carrasco (District 36, Indianapolis) passed the Indiana Senate 29-19, and the bill now moves to the House with Rep. Doug Miller (District 48, Elkhart) serving as its sponsor. The Hoosier Housing Needs Coalition is united in their disappointment and frustration in this development, as the Coalition has consistently opposed similar legislation that will exacerbate burdens on local service providers, hospitals, and jails, and create a new pathway for vulnerable Hoosiers to enter the justice system with a Class C misdemeanor.

This is the third year the Hoosier Housing Coalition has mobilized its partners to oppose legislation that makes it a potential criminal offense for someone to sleep in public spaces, which is broadly identified with a Texas-based think tank, the Cicero Institute. The author of the bill has been explicit in her support of programs that connect people to housing and resources and says this bill “creates a moment” for that work to begin. The bill, however, provides no support or funding for service providers or even county governments which operate local jails, creating a surge in demand under an unfunded mandate.

Service providers express concern that the premise of SB285 ignores the realities and complexities of building the trust required to connect people without shelter to services.

With SB285 moving on to Indiana’s House of Representatives, the Hoosier Housing Needs Coalition will continue advocating against this legislation and the harm it would cause Hoosiers experiencing homelessness. The Coalition encourages members of the public to contact their Representatives and urge them to oppose any version of SB 285 that retains the Class C misdemeanor.

Quotes from Leaders of the Hoosier Housing Needs Coalition

“I agree with lawmakers that more needs to be done to address unsheltered homelessness in Indiana, but the data shows clearly that fines and penalties are not the answer, and it’s not what people want for their communities. What reduces homelessness is accessible, affordable housing and services that connect people to those resources, and this bill doesn’t provide any support for either. What SB 285 does provide is new pathway for vulnerable people to enter overcrowded jails.”

- Aspen Clemons, Executive Director of Prosperity Indiana

“SB 285 will harm survivors of domestic violence who are attempting to flee unsafe situations by criminalizing sleeping in public spaces. Rather than advancing meaningful solutions to homelessness or investing in critical services and supports, the legislature has chosen to respond with fines and criminalization. This approach will not make our communities safer. It will force survivors to remain in dangerous homes and undermine efforts to help them achieve safety and stability.”

- Laura Berry, Executive Director of Indiana Coalition Against Domestic Violence

“This legislation punishes people for being unhoused and fails to fund diversion, housing or services that would actually keep people off the streets. This approach wastes public dollars and harms our communities as well as the individuals who so desperately need safe, stable housing.”

- Mary Morgan, Executive Director of Heading Home in Bloomington

“Indiana United Ways remains committed to preventing homelessness and working with organizations to provide safe and affordable housing. Rather than incentives for housing, mental health, and substance use disorder programs, which our communities desperately need, SB 285 penalizes individuals experiencing homelessness and would require our organizations to shift resources from keeping Hoosiers off the streets to cover fines and meet court requirements under this bill.”

- Brian Lohsl, Public Policy & Advocacy Strategist of Indiana United Ways

Prosperity Indiana, the statewide association for community economic development, has released its 2026 Policy Agenda, focused on recommendations to address the state’s affordability crisis, and invites members of its statewide network to discuss potential solutions at their upcoming Policy & Pizza regional legislator meeting series. 

The new policy agenda, titled Strengthening Indiana’s Communities and Supporting Those Who Serve Hoosiers, reflects the results of Prosperity Indiana’s survey of over 200 organizational members as ratified by the association’s Policy Committee and Board of Directors. The 2026 agenda addresses issues of affordable housing, community development resources, asset-building, and consumer protection issues, as well as urgent & emerging priorities that cross all policy areas. 

A common theme among members’ policy survey responses is the growing reality that Indiana has become an unaffordable state, not only for Hoosier households whose incomes have not kept up with housing and other basic costs, but also for the community organizations who serve them and have been subject to state and federal cuts and rising administrative costs. 

Over the past year, more than two-thirds of PI Policy Survey respondents report that budget and policy changes at the federal and state levels have significantly or moderately decreased the ability of their organization to serve Hoosiers and their community (0% say policy changes have increased their ability to serve). As a result of policy changes, more than 40% of respondents have: eliminated programs or services; eliminated staff positions or are not filling roles; or have reduced the scope of clients they can serve – or are considering doing so.

At the same time, Prosperity Indiana’s most recent research finds that 14 of the state’s 20 largest occupations no longer pay an income sufficient to meet the state’s housing wage of $22.18 per hour necessary to afford a modest two-bedroom home, up from 9 of the top 20 occupations just three years ago.  

As a result, PI’s 2026 Policy Agenda focuses on solutions to increase affordability for Hoosier households as well as to strengthen the capacity of the organizations who provide housing and economic opportunity for all Hoosiers. Our members’ priorities range from increasing the supply of safe, affordable housing, to combatting wealth loss through homeowner repair, to reducing the benefits cliff for vulnerable families. Newly trending priorities for 2026 include increasing resources for organizations who serve their communities while defending those organizations from attacks and cuts.

To introduce the 2026 agenda and discuss issues of housing and economic opportunity with local policymakers, Prosperity Indiana invites its network and members of the public to its ‘Policy & Pizza’ regional legislator meeting series. Registration and additional information can be found in the links below. 

• November 5, Fort Wayne 

• November 10, Indianapolis 

• November 13, Elkhart 

• December 3, Evansville 

• December 12, Lafayette

View the 2026 Policy Agenda here.

Indiana’s housing crisis is squeezing out the very people who keep our communities running. Home health aides, retail clerks, restaurant cooks, and janitors—many of them women and people of color—are earning too little to afford a modest two-bedroom apartment. In fact, 14 of Indiana’s 20 most common occupations fall short of the Housing Wage of $22.18/hour. These jobs represent over 800,000 Hoosiers—more than a fifth of the entire workforce. When essential workers can’t afford to live where they work, communities face rising turnover, declining services, and deepening inequality. Solving this crisis starts with valuing essential labor—and ensuring those who serve Indiana can afford to stay here. 

"Out of Reach" is an annual report co-released by NLIHC and Prosperity Indiana. Read the full release at housing4hoosiers.org/2025/07/17/out-of-reach

Indiana’s housing crisis isn’t just about rising rents—it’s about paychecks that haven’t kept up. For thousands of Hoosiers, full-time work no longer guarantees housing stability. According to the Out of Reach – Indiana 2025 report, a full-time worker in Indiana must earn $22.18/hour to afford a modest two-bedroom apartment at fair market rent. But the average Hoosier renter earns just $18.05/hour. That $4.13 wage gap adds up to over $8,500 in lost annual earning power—money that could be used for food, childcare, medical bills, or simply keeping the lights on.

This disconnect between income and housing costs has grown into a structural issue. The Fair Market Rent for a two-bedroom apartment in Indiana is now $1,153/month. Yet, based on the state’s average renter wage, the “affordable” rent should be no more than $939/month. That means the typical renter must either spend more than the recommended 30% of their income on housing—or make sacrifices elsewhere to bridge the difference. These trade-offs often include essentials like prescriptions, groceries, transportation, or utilities, leading to increased housing instability and greater vulnerability to eviction.

And it’s not just about averages. For renters at the lowest end of the income spectrum—those earning 30% or less of the Area Median Income—the situation is even more dire. For them, affordable rent is just $722/month, a full $431 short of what it costs to rent a modest two-bedroom. This affordability crisis affects seniors, caregivers, low-wage workers, people with disabilities, and others who are often left out of mainstream housing markets altogether.

Unlike other states in the Midwest that have raised wages or invested in renter support, Indiana lags behind. The Out of Reach report shows Indiana has the lowest renter income in the region—$3,708 less than the Midwest average—and yet renters here still face regionally average housing costs. In short, Hoosiers get no discount on rent, but plenty of financial risk.

It’s time to recognize that housing affordability cannot be addressed without addressing wages. Hoosiers deserve a fair shot at stability, and that starts with fair pay. The housing crisis won’t be solved by rental subsidies or new construction alone—it requires raising incomes so that hard-working people can afford a place to live.

"Out of Reach" is an annual report co-released by NLIHC and Prosperity Indiana. Read the full release at housing4hoosiers.org/2025/07/17/out-of-reach