UCLA Institute of Transportation Studies

In many U.S. metropolitan areas, housing costs have skyrocketed in recent years relative to average incomes. This pattern is certainly the case in California, where more than half (52%) of renters are cost burdened — defined as having housing costs of more than 30% of household income — compared to 46% of U.S. renters. A worsening shortage of affordable housing may push households away from job- rich cities and expensive neighborhoods into outlying areas, where housing is cheaper but jobs are more distant. Median commute distances in California have in fact lengthened in recent years, growing from 12.5 miles in 2002 to 14.2 miles in 2015. Among other consequences, pre-pandemic transit ridership in some areas of the state fell in part because transit is less competitive for these lengthening trips. Jobs-housing balance — measured as the number of jobs relative to the number of workers in an area — may influence residential location. Therefore, improvements in the proximity of workers to jobs can contribute to shorter commutes, less vehicle travel and, potentially, greater use of modes other than driving. Low-income households may realize additional benefits from jobs-housing balance, since some studies show a positive relationship between job access and the likelihood of employment. While not the only or, perhaps, the principal determinant of these outcomes, jobs-housing balance can have positive effects by better enabling some workers to move to job-rich neighborhoods, should they so choose.