Yes. Compassion and empathy are vital for survival and coping, people are also in need to 'feel' support. The material part alone is not sufficient to activate hope.
Adding to Stephen Ternyik's answer. Hope is a vital ingredient for "moving on". For without Hope, one becomes "stuck". QMH (Quantifying Mental Health) requires integration of the 3. Those being Belief (in G-d), Love (of self), and Hope (in others).
In our work we found broad yet shallow social support. That is, people who are homeless often have many known connections in their lives yet often rate zero of these as trusted acquaintances. So social support is not necessarily what others might think about in terms of family and close friends in spite of networks that might score on size alone equivalent to housed adults. So, what is the support then? Much of it is identified as information sharing, ie. street knowledge. Support is also related to grey markets, ie. how folks make their money, but these supports are even more precarious. Lastly, and importantly for those working in the sector, those who are chronically homeless are most likely to rate caring relationships as coming from staff within the sector. These may be rated as the only relationships that include any degree of caring/comfort/love.
Most of the homeless people who have been in this situation for a long time become very vulnerable people. The family is the main support network that people have when they go through a problematic situation, but in the case of homeless people, this family support can be null or limited in most cases. These people do not usually have any type of personal support, such as a network of friends, neighbors or co-workers who can provide support in problematic situations, because these homeless people may not have had access to spaces in which friendship relationships are usually generated.