If you’re planning a move to Delaware, understanding the state’s housing costs is an important part of your relocation decision.
According to the National Low Income Housing Coalition (NLIHC), a Delaware household must earn $66,981 per year to afford a modest two-bedroom rental home at the U.S. Department of Housing and Urban Development’s (HUD) Fair Market Rent (FMR) without spending more than 30% of income on housing.
The report highlights the growing challenge many renters face across the country as housing costs continue to outpace wage growth.
What Fair Market Rent Means
HUD’s Fair Market Rent (FMR) represents the estimated cost of renting a modest apartment in a local housing market. It is commonly used to:
- Determine Housing Choice Voucher (Section 8) payment standards
- Guide affordable housing programs
- Measure rental affordability across states and metropolitan areas
The affordability benchmark assumes that households spend no more than 30% of their gross income on housing, a standard widely used by housing economists and financial planners.
How Delaware Compares
With an annual income requirement of $66,981, Delaware remains more affordable than many high-cost states along the Northeast Corridor while still reflecting the broader national trend of rising rental costs.
Rental prices vary significantly across the First State. Areas such as Wilmington and northern New Castle County generally command higher rents, while portions of Kent County and Sussex County may offer more affordable options depending on location, amenities, and housing availability.
For newcomers, comparing neighborhoods and considering commute times can make a significant difference in monthly housing expenses.
Planning Your Move
While housing affordability is one of the biggest factors in any relocation decision, it’s only part of the picture.
Many people relocating to Delaware cite additional advantages, including:
- No state sales tax
- A central Mid-Atlantic location with access to Philadelphia, Baltimore, and Washington, D.C.
- Miles of Atlantic coastline and popular beach communities
- A growing healthcare and financial services sector
- Diverse communities offering urban, suburban, and coastal lifestyles
For prospective residents, balancing housing costs with Delaware’s quality of life, employment opportunities, and tax advantages remains an important part of the relocation equation.
The latest National Low Income Housing Coalition data underscores the importance of budgeting for housing before making a move. Households seeking a typical two-bedroom rental in Delaware should plan for an annual income of approximately $66,981 to meet HUD’s affordability guidelines.
As Delaware continues to attract new residents for its location, lifestyle, and economic opportunities, understanding local housing costs can help renters make informed decisions and find the community that best fits their budget.
Source: National Low Income Housing Coalition (NLIHC), Out of Reach Housing Affordability Report; U.S. Department of Housing and Urban Development Fair Market Rent (FMR) data.