ANNAPOLIS– Maryland’s housing affordability crisis is causing many young people and middle-income families to leave the state, according to a new report from the state comptroller’s office.
Officials worry this will prevent companies from moving into Maryland, for fear that their workers won’t be able to find affordable housing.
Between 2010 and 2023, Maryland lost a total of 2.3 million residents, according to the report. The most common states for these residents to move to were Florida, Pennsylvania and North Carolina. In 2024, Maryland ranked sixth among U.S. states with the highest net loss due to domestic migration.
Only half of Marylanders earn enough money to afford a median-priced home, the report shows. The median rent and median house is more expensive than in almost all the states that Maryland is losing residents to. This outmigration worries public officials because of its potential negative impact on state revenues and economic growth.
“If you are not growing, you are dying,” said Jake Day, secretary of Maryland’s Housing &. Community Development, at a recent Maryland in Motion discussion. “There is no stasis in the population. There is no stasis in the economy. If you’re not growing, your costs are still growing.”
The cost of building housing is at a historic high, the report also shows. The cost of construction materials increased by 38% between 2019 and 2024. Nationally, regulation costs consist of 25% of the price of a new home. Housing costs are lower in states with a less regulated housing market. Maryland is currently ranked the sixth most regulated state for housing development.
“When people can’t afford to live here, they leave, and that has ripple effects. Our communities lose residents, businesses lose the workforce they rely on, and the state loses critical revenue needed to fund public services, said Comptroller Brooke E. Lierman, in a news release of the report. “Every level of government must work together to tackle rising housing costs and improve access and affordability.”