Affordable housing refers to housing that is reasonably priced, allowing individuals or families to live without spending an excessive portion of their income. The U.S. Department of Housing and Urban Development (HUD) defines housing as affordable if it costs no more than 30% of a household’s gross income. This standard is critical when determining if someone can maintain their housing without sacrificing basic needs like food, healthcare, or transportation.
For many, determining what’s affordable depends on their personal income and the local cost of living. Housing costs — whether for rent or purchase — vary significantly based on location, economic conditions, and available housing stock. This means that what might be affordable in one area could be completely out of reach in another. The affordability challenge is especially relevant today, as many individuals and families are faced with difficult choices when it comes to securing safe, stable housing.
The affordable housing struggle in Daviess County
In 2022, the median income for Daviess County was $33,602, according to the United States Census Bureau. With housing prices continuing to rise, many people in the county find themselves struggling to make ends meet. The average rental cost for a one-bedroom apartment in Daviess County is $748 per month, according to Apartments.com. When we consider that a household should ideally spend no more than 30% of its income on housing, the situation becomes clearer: the cost of rent alone consumes a significant portion of many residents’ incomes.
For example, someone with a median income of $33,602 would have about $2,800 per month in gross income. To stay within the recommended affordability guidelines, their rent should not exceed $840 per month — meaning that a one-bedroom apartment at $748 might technically fall within the affordable range. However, this doesn’t take into account other essential expenses such as utilities, transportation, food, and healthcare.
Social Security and affordable housing
The situation becomes even more challenging for individuals who rely on Social Security as their primary income source. The average monthly Social Security benefit in 2025 is $967, according to the Social Security Administration. This amount is significantly lower than the median household income, which places even basic rental costs out of reach for many Social Security recipients.
For someone living on Social Security, paying $748 for rent would consume nearly 78% of their monthly income, leaving little room for other necessary expenses. This creates a dire housing situation, where individuals may be forced to choose between paying for housing or other basic needs.
The growing housing crisis and its impact on homeless shelters
The lack of affordable housing isn’t just a problem for those trying to rent or buy — it’s a key factor contributing to homelessness. When affordable housing is scarce, more people find themselves without a place to live. The increasing demand for housing and the limited supply push many individuals into homelessness, leaving shelters like St. Benedict’s Shelter and the Daniel Pitino Shelter overwhelmed.
These shelters, which are vital to providing temporary refuge, food, and support services to the homeless population, often operate at or beyond capacity due to the influx of individuals and families with nowhere else to go. St. Benedict’s Shelter and the Daniel Pitino Shelter are two such organizations that provide essential services to those in need, offering not just a bed, but also job training, counseling, and other resources to help individuals get back on their feet.
However, because affordable housing is so limited, the shelters often face a backup of individuals who cannot transition to permanent housing. They provide short-term relief, but the lack of affordable housing options means that many individuals remain stuck in a cycle of homelessness, unable to secure a stable and affordable place to live. This leads to overcrowding, stretched resources, and, in some cases, people living in shelters for far longer than they should.
Additionally, the pressure on shelters is compounded by rising demand as more people find themselves at risk of eviction or unable to pay rising rents. With no place to go, they turn to shelters, which are already struggling to meet the needs of those currently housed.
A vicious cycle: Homelessness and lack of affordable housing
The connection between homelessness and the shortage of affordable housing is clear: without access to safe, affordable housing, individuals and families are more likely to become homeless. When they are forced to rely on shelters, it creates a backlog, making it even harder for others who need assistance. Shelters become a temporary stopgap, but without long-term housing solutions, many individuals face long periods of instability.
This vicious cycle further entrenches homelessness, preventing people from securing the stability needed to rebuild their lives. As long as affordable housing remains out of reach for many, the number of people seeking shelter will continue to rise, straining already overburdened facilities like St. Benedict’s Shelter and the Daniel Pitino Shelter.
Affordable housing is a basic necessity, yet for many people, it has become increasingly elusive. The figures from Daviess County highlight the affordability gap that many individuals face, especially those with low or fixed incomes. As the housing market continues to evolve, more action is needed from local governments, developers, and communities to ensure that affordable housing is available to those who need it most.
The current shortage of affordable housing directly impacts homelessness, contributing to an overwhelming demand for shelter services. St. Benedict’s Shelter, the Daniel Pitino Shelter, and other similar organizations play a critical role in providing temporary support, but without sufficient affordable housing options, individuals will continue to face the difficult choice between homelessness and inadequate shelter.
Addressing the housing crisis requires a comprehensive approach that includes increasing the supply of affordable housing, expanding access to social services, and ensuring that shelters have the resources to provide short-term support while working toward long-term solutions. By tackling the root causes of homelessness and investing in affordable housing, we can begin to make real progress toward ending the cycle of homelessness.
Written by
Harry E. Pedigo, MSSW, MHFAI
Executive Director
St. Benedict and Daniel Pitino Shelters