Houston has highest poverty rate among largest U.S. cities, according to census data

Sarah Al-Shaikh Image
Wednesday, September 17, 2025
Houston has highest poverty rate amongst biggest U.S. cities, according to census data

HOUSTON, Texas (KTRK) -- One out of five people in Houston lives in poverty, according to new U.S. Census Bureau data. Those recently released numbers put Houston at the top of the list with the highest poverty rate among America's largest cities.

According to the data, 21.1% of residents lived at or below the federal poverty line in 2024. That number is exactly double the national poverty rate of 10.6%, according to census data.

"For about the past decade, Houston has been around this mark of 20% to 21% on or off for about ten years now," said Daniel Potter, the Director of the Houston Population Research Center at the Kinder Institute.

When it comes to understanding why the poverty rate is that high, Potter said it doesn't have to do with Houston not having enough jobs. Instead, he said it's about the lack of high-wage opportunities in the city.

"We're missing jobs that are paying between about $100,000 and $150,000," Potter said. "These are not entry-level positions we're talking about. These are your mid-career. These are positions that oftentimes people are working towards."

A 2025 State of Housing report by the Kinder Institute said rent increases, along with stagnant wages, have caused more households to struggle to make ends meet. The report said more than half of Houstonians are spending more than 30% of their income on rent.

"When I'm taking half of my income and I'm putting it into just my lodging, it is leaving very little behind for me to have money for my food, my utilities, my insurances," Potter said.

Ultimately, Potter said this data helps shed light on where we stand as a city and that it can hopefully help create better policies to move the needle on this issue.

"We are talking about things that you can change and you can move," Potter said. "It's just recognizing we've got to make sure we're prioritizing those living wage positions because we've got folks that are working here. It's just making sure they've got those opportunities."

Potter said it was also important to point out that today's poverty rate is lower than it was 15 years ago. He said back then it was at about 25%.

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