Paxton's population has declined slightly, from 4,675 in 2014 to 4,535 in 2022. Despite this decrease, the median income has increased from $50,915 in 2014 to $53,462 in 2022. This rise in median income may suggest a reduced need for additional affordable housing units in recent years.

The racial composition of Paxton has remained relatively stable, with a predominantly white population. However, there has been a small increase in diversity. The Hispanic population has grown from 3% in 2014 to 5% in 2022, and the percentage of residents identifying as two or more races has increased from 0% to 2% during the same period.

Paxton's LIHTC funded affordable housing inventory consists solely of Parkview Dwellings, providing 24 one-bedroom units for low-income residents. While this project covers a small percentage of the city's estimated housing stock, it has served the community for over two decades. The city's demographic trends, including a slight population decrease and increasing median income, may have influenced the lack of additional LIHTC projects. However, the growing diversity in the population might indicate evolving housing needs that could be addressed in future affordable housing initiatives.