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Rural Homelessness Rising Faster Than Cities In Indiana

By: Charlotte Burke • January 21, 2026 • INDIANA
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(INDIANA) - Homelessness is increasing faster in rural Indiana than in urban areas, according to new data from the Indiana Housing and Community Development Authority.

IHCDA figures show rural areas experienced a 16.6 percent increase in people experiencing homelessness between 2023 and 2025.

Urban areas saw a 9.4 percent increase over the same period.

Housing advocates say the data likely underrepresents the scope of the problem in rural communities. Annual point-in-time surveys capture homelessness on a single day and often miss people living in unsafe housing, doubled up with family or friends, or staying temporarily in remote areas.

Service providers say rising rents, utility costs, limited local resources, and increasing property taxes are pushing more rural families to the brink. In many counties, a lack of affordable housing options means losing a home can quickly lead to homelessness.

The agency said part of the increase may reflect improved counting efforts, while shelters and housing programs remain near capacity. IHCDA officials noted several pilot projects are underway to address rural homelessness and identify strategies that could be expanded statewide.

Advocates stress that local collaboration and community-based solutions will be critical as housing pressures continue to grow.