California reported one of the largest decreases in homelessness among U.S. states over the past year, according to new data from the U.S. Department of Housing and Urban Development.

The state recorded a total homeless population of 181,934 in 2025, representing nearly a 3% decrease from the previous year. This decline placed California among the five states with the largest year-over-year reductions in homelessness.

Four other states reported more substantial percentage decreases than California. Illinois led with a 44% drop, followed by Hawaii at 41%, Florida at 11%, and New York at 8%.

The data represents the latest federal count of homeless populations across the United States, providing insight into state-level trends in addressing homelessness. The Housing and Urban Development department conducts regular assessments of homeless populations to track changes over time.

California has historically reported some of the nation's highest homeless populations, making percentage decreases more challenging to achieve compared to states with smaller baseline numbers. The state's nearly 3% reduction represents a significant absolute decrease given its large homeless population.