Young adults who receive a short-term subsidy for rental housing are significantly less likely to become homeless in the future, according to a study released Wednesday by researchers with the California Policy Lab housed at UCLA.
The 30-page study relying on Los Angeles County data compared the outcomes of roughly 500 young adults who moved into a rental unit with financial help from the county between 2016 and 2019, with about 3,000 similar young people who were not provided the benefit.
Four years after moving into a rental unit through the subsidy program, the study found, just 16% of participants experienced homelessness, compared with 27% in the control group.
“Our research shows that Time-Limited Subsidies are an important tool in helping young people avoid homelessness,” study co-author Janey Rountree said.
Los Angeles County’s rental subsidy program for vulnerable teens — a group that typically includes former foster youth — offers young people ages 18 to 24 short-term financial support to afford housing in the private market. The benefit typically lasts about a year but can be extended to 36 months and provides an average of about $500 a month per participant for the duration of the program.
“THE MAJORITY OF YOUNG ADULTS TODAY CONTINUE TO LIVE WITH THEIR FAMILIES INTO THEIR EARLY 20S. FOR YOUTH WHO DON’T HAVE THIS OPTION, THIS STUDY IS BASICALLY SAYING WE CAN HELP A LOT OF YOUNG PEOPLE BE SUCCESSFUL IF THEY, TOO, RECEIVE SUPPORT.”
— SIMONE TURECK LEE, JOHN BURTON ADVOCATES FOR YOUTH
Starting with a U.S. Department of Housing and Urban Development demonstration project in 2008, housing subsidy programs have been used as a way to quickly rehouse people who often experienced homelessness as a result of an eviction or financial shock, such as a job loss. While research has shown the benefits of such a program for adults, it has not previously been studied for a transition-age youth population, the researchers said in the paper.
The California Policy Lab study also found areas of concern. The subsidy program reduced future homelessness for both Black and Latino participants, but Black youth were twice as likely to end up homeless years later, compared with Latino youth. And about one in four young adults approved for a rental subsidy failed to lease an apartment.
California has by far the largest number of homeless youth and young adults. In 2024, data from the U.S. Department of Housing and Urban Development showed the state accounts for nearly a quarter of the nation’s 18- to 24-year olds who experienced homelessness. A disproportionate share of young people come from the state’s child welfare and youth justice systems. For example, a 2019 Los Angeles County survey of homeless young adults 18 to 24 found that 29% had left the foster care system.
A spokesperson for the Los Angeles County Homeless Initiative said the study demonstrated that short-term subsidies were effective in preventing future housing instability. “It is encouraging to see this recent report reinforces this is the case for young people,” an emailed statement reads.
Simone Tureck Lee, director of Housing and Economic Mobility for the San Francisco-based John Burton Advocates for Youth, said temporary housing arrangements such as Los Angeles County’s subsidy program could be “life-changing” for young adults who’ve hit a rough patch.
While some young adults who experience homelessness may need extended support, such as access to substance abuse programs or mental health services, many are homeless because they don’t have parental support at a critical time in their lives, she said. They are leaving the foster care or juvenile justice systems, or commonly, have been rejected by their families because they identify as LGBTQ.
“The majority of young adults today continue to live with their families into their early 20s,” Lee said. “For youth who don’t have this option, this study is basically saying we can help a lot of young people be successful if they, too, receive support.”
