Wyoming Is Experiencing Strong Population Growth, Which Puts Pressure on the Housing Market

The Wyoming Community Development Authority (WCDA) recently published its annual Statewide Housing Needs Assessment to evaluate the availability, affordability, and diversity of housing in the region. Between 2010 and 2030, the population of Wyoming is expected to grow by 9%, bringing more than 50,000 residents to the state. While the WCDA report celebrates this, it questions whether the housing will support the changing demographics of Wyoming.

“Housing is an issue that economic development teams across the state are concerned about,” says Brett Kahler, Executive Director of The Wyoming Economic Development Association (WEDA). “Communities across Wyoming want to grow but need ample housing for the workers and families they hope to attract.”

Here are a few key highlights from the WCDA report that showcase the opportunities and potential challenges facing the state of Wyoming in the coming years. 

Communities Need to Diversify Their Housing Initiatives

One of the biggest needs in Wyoming housing is affordable units for service-based employees and low-income workers. While hiring in these positions continues to grow, many communities can’t keep up with the housing needs of local employers. Low affordable inventory is found in both the rental and ownership markets.

WCDA estimates that the state of Wyoming will need to add between 20,700 and 38,600 units. Of that, between 2,500 and 4,700 units will need to accommodate buyers or renters at 30% AMI or below. AMI (area median income) is the metric used by the Department of Housing and Urban Development (HUD) to identify low-income populations. Anything below 30% AMI is considered low income. The WCDA report says around 12% of housing units need to support low-income populations.  

“People often move to Wyoming because of its affordability,” says Kahler. “However, this sometimes means more affluent populations move into homes designed for lower-income residents.” 

More Wyoming Residents Are Aging in Place

The WCDA also cites an aging population for the decrease in housing availability. Nationally, more Americans want to “age in place,” which means they prefer to remain in their homes instead of moving into assisted living facilities. This means they stay in their houses longer, keeping them off the market. Wyoming is also frequently ranked as one of the best states to retire, which contributes to an aging population.

WCDA found the percentage of Wyoming residents older than 65 increased from 12% in 2010 to 17% in 2021. It notes that the aging population has a direct economic impact, increasing demand for doctors, nurses, in-home service professionals, and other senior care specialists.

Remote Work Trends Continue to Affect Where People Live

Another key trend the WCDA highlights is the rise of remote work since the COVID-19 pandemic. Remote work in Wyoming was uncommon in 2019 but experienced significant growth in recent years. Two notable cities for remote work are Rawlins at 7.1% and Laramie at 10.9%. Multiple cities outside of Wyoming that people usually commute to also have high remote work rates, including Salt Lake City at 21% and Denver at 28%.

WCDA acknowledges that it is difficult to track how many people moved to Wyoming once remote work became more common. However, this trend also has intra-state housing impacts. Remote workers are more likely to leave urban areas in favor of suburban or rural areas because they no longer have daily commutes. This has the potential to foster growth in smaller Wyoming communities.

“Remote work is a good thing for Wyoming,” says Kahler. “Several rural towns are gaining new residents who want to leave bigger cities. However, this migration can also reduce housing inventory in areas that need units for the local workforce.”

Several Factors Contribute to Housing Availability

One thing is clear about the WCDA report: there isn’t a standalone cause of the housing crunch in Wyoming. Many things that are good for the state, like a growing population and influx of remote workers and retirees, also impact housing availability in both good and bad ways. Each municipality in Wyoming might face its own housing challenges depending on its economy and location.

WEDA is committed to helping economic development organizations in Wyoming address their housing needs so they can better support local populations. We help economic development groups find resources, develop programs, and learn about national trends. We will continue to track housing availability and advocate for the best interests of Wyoming residents. Join WEDA today and stay at the forefront of Wyoming housing development.