The estimated annual cost to end homelessness in the United States ranges roughly from $9.6 billion to $30 billion, with many credible estimates centering around $20 billion per year. This cost includes providing housing—either through rapid re-housing, permanent supportive housing, or simply paying for average rental costs—and associated supportive services for those experiencing homelessness. Key points:
- One high-end estimate suggests it could cost about $30 billion annually if homeless individuals were housed at costs comparable to incarceration expenses (approximately $46,000 per person per year adjusted for inflation).
- More moderate estimates, such as simply paying median rental costs nationwide, put the cost near $11 billion annually.
- The U.S. Department of Housing and Urban Development (HUD) and other analyses commonly cite approximately $20 billion per year as a realistic figure for ending homelessness, factoring in both housing and supportive services.
- An estimate focusing on providing "Housing First" placements to all sheltered homeless households in one year suggests an additional $9.6 billion would be necessary beyond existing program expenditures.
- The cost to end homelessness is comparatively low relative to other federal expenditures. For example, $20 billion is a small fraction of the $1.5 trillion spent annually on Social Security or the $112 billion spent on SNAP (food assistance).
The challenge primarily lies in political will rather than financial feasibility, as the resources exist but coordinating and sustaining investments on this scale is complex.
