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HomeNewsHousing crisis significantly worse in 2024

Housing crisis significantly worse in 2024

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Capitalism, and class societies generally, have always been defined by poor housing conditions for the working classes. Contrary to popular myth, homelessness is not the result of individual failures or particular party governance, but rather an inbuilt inequity in the distribution of resources that permeates all class societies, which is particularly brutal in the current-day United States.

In 1872, Friedrich Engels remarked that since subpar housing and even homelessness are endemic to class society, the only way to solve the housing problem is to upend class rule itself, by a revolution of the workers against the capitalists. History proved Engels’ assessment correct, as in the 20th century the new socialist states became the first (and to date, only) countries to effectively eliminate homelessness.

In contrast, the housing crisis in the United States and other capitalist countries has only worsened in the 21st century under increasing neoliberalization, full-blown privatization, gentrification and mass homelessness. According to the U.S. Department of Housing and Urban Development, a record high of more than 770,000 people experienced homelessness in 2024, up by 18% from 2023. Of those, nearly 150,000 were children, a staggering 33% increase over the previous year.

Housing is available, yet absurdly, more than 15 million housing units lie vacant amidst the ever-increasing homeless population, because rents are too high. (Medium.com, Feb. 24, 2024)

The current crisis is directly linked with the skyrocketing cost of rent across the United States, which has outpaced wages for some time. Capitalists already expropriate the surplus value produced by the working class, and landlords squeeze even more out of the “leftover” wages.

The wealthiest real estate corporations buy up existing housing to maximize rental profits. Billionaire speculators build high-rise luxury housing, and gentrification drives up prices and forces impoverished urban dwellers from their homes and neighborhoods.

In no state can a single worker making the minimum wage afford rental prices. Regions such as the Rust Belt and Midwest have not recovered from the foreclosure crisis of 2008, with many former homeowners still trapped in the rent system, or living on the streets.

The blatant profiteering in the housing market and the resulting homelessness is clearly a crisis of capitalism. In the short term, eliminating the profit motive from housing would alleviate some of the most egregious impacts.

However, Engels’ conclusion is as relevant now as ever: Only a working-class revolution which abolishes the current class order can truly solve the housing problem.

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