Michigan housing experts say state is running out of time to fix affordability gap
Panelists at a Detroit summit warned that while 1 in 5 residents spend a third of their income on shelter, the state has built too few homes for its growing workforce.
By Abigail Brooks ·
Detroit, Oct. 28, 2026: A group of housing and economic experts told a crowd of 375 people last week that Michigan has reached a breaking point on affordability. The panel, held as part of the Bridge Michigan Issues Summit, argued that the state has spent too much time discussing the crisis and not enough time solving it.
The discussion focused on the widening gap between wages and the cost of shelter. Survey data from more than 6,400 readers showed that about one in four respondents identified affordability as a top concern. The data revealed that real median income in Michigan dropped nearly 2% between 2021 and 2024 when adjusted for inflation. Meanwhile, an estimated one in five Michigan residents now spends at least 30% of their income on housing costs.
Timothy Hodge, an associate professor of economics at Oakland University, pointed to a specific structural failure in the state's development. He noted that Michigan has created roughly 525 homes for every 1,000 new jobs over the past decade. He called this one of the lowest rates in the nation. Hodge argued that the state must increase housing supply and reform property taxes. He said current tax structures often keep retirees in large homes, which prevents them from downsizing and leaves growing families with limited options.
Dan Gilmartin, executive director and CEO of the Michigan Municipal League, agreed that the state has been slow to respond. "We don’t act like there’s an ongoing housing crisis," Gilmartin said. He emphasized that fixing the issue requires a comprehensive approach to material costs, financing, and availability. He also noted that while a lot of high-end housing is being built, this trend leaves less room for affordable stock.
Chelsie Wilkinson, executive director of Room at the Inn, a homelessness services agency, described the immediate reality for the state’s most vulnerable residents. "It’s no secret that the tipping point for the population that I serve hit a long time ago," she said. Wilkinson reported that her shelter and others across Michigan are completely full. She warned that when the housing market fails at any price point, the impact hits the poorest residents first and hardest.
The panelists offered different prescriptions for the problem. Hodge criticized a proposed cut to the 6-mill state education tax, calling it a benefit for wealthy homeowners that does nothing for renters. He said lawmakers avoid deeper tax reform because it would hurt their voting base. "Politicians don’t want to touch it because it’s going to hurt most of their voting base," Hodge said.
Gilmartin was more skeptical of zoning reform as a standalone solution. "Zoning by itself doesn’t move the needle," he said. "Just because you can do something doesn’t mean you can finance it." He argued that permission to build does not equal production.
Natasha Pilkauskas, a professor of public policy at the University of Michigan, advocated for direct economic interventions. She cited research showing that the expanded child tax credit helps low-income families afford rent. "In my work there, we find for low-income families the place where we see the biggest sort of difference, other than food insecurity, is that they’re actually more likely to be able to afford their rent," she said.
Wilkinson cautioned that building more units is not the only answer. "We will not build our way out of my side of the housing crisis," she said. She praised a state law requiring larger landlords to accept housing vouchers but noted that loopholes and outdated fair-market rents weaken the policy. She said the community must decide that housing is a human right and a priority.
The summit was the culmination of a yearlong project where readers identified their top concerns. The event also featured panels on health care, data centers, and education, but the housing discussion highlighted the specific pressure on working families. The experts left the audience with a shared assessment: the state must act on multiple fronts simultaneously to stop the bleeding.
