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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsThis Map Shows the Hourly Wage Needed to Rent a 2-Bedroom Home in Every State
Last edited Mon Jun 24, 2019, 09:07 AM - Edit history (2)
https://www.thrillist.com/news/nation/hourly-wages-to-afford-two-bedroom-rent-mappedUnless you've lucked out with a dream subsidized housing scenario or managed to scoop up a beautiful home for $1, you're probably less-than-stoked at the size of the rent check you have to cut every month. That's especially true if you live in a market where real estate prices have skyrocketed in recent years. In fact, the harsh reality is that there's not a single state, county, or city in America where a full-time worker earning minimum wage can afford to rent a two-bedroom home, according to bleak statistics revealed in a new housing report.
The gloomy new report comes courtesy of the folks at the National Low Income Housing Coalition, which has been analyzing the growing gap between renters' earnings and monthly rent costs for the last 30 years. This year's troubling study reveals the gap has grown even further and that there's not a single place in America where a person working full-time on a minimum wage income can afford to rent a modest two-bedroom home without spending more than 30% of their earnings on housing costs (when you pay 30% or more you qualify as a "housing cost-burdened" renter).
To make the glut of intel a bit easier to understand, the NLICH also distilled the report into a nifty interactive map, which shows the hourly wage one must earn in each state in order to afford the "fair market" rent on a two-bedroom home there ("fair market" is defined as what a family can expect to pay for a modestly priced rental in a particular area in 2019). The map also reveals how many hours of work at the minimum wage are required to afford a two-bedroom without spending 30% or more of your income on it, as well as where each state ranks in relation to others.
Topping the list as the most expensive state for renters right now is Hawaii, where you need to earn $36.82 an hour -- or nearly $77,000 per year -- to afford renting a two-bedroom. That's compared to the least expensive state, Arkansas, where you'd need to earn $14.26 an hour (or roughly $30,000 annually) to afford the same thing. Keep in mind that while minimum wages do differ from state to state, federally it is just $7.25 an hour.
snip
On edit, as multiple people are claiming this is flawed because it doesn't break it down by county and metro area, here again (I sat again as I had already placed the link in the OP article), is the interactive map that does break it further down to a more granular levels (including individual counties/areas and different flat sizes as well)
https://reports.nlihc.org/oor
2naSalit
(90,944 posts)in a little different setting instead of whole state. I live in a state where rent is cheap in many areas as long as they are more than a hundred miles from anywhere. We have more than one major National Parks and anything within 100 miles of one, or other places of tourist interest, it would require an income far greater than indicated here to rent a chicken coop with a door on it.
Celerity
(46,154 posts)2naSalit
(90,944 posts)thanks!
Celerity
(46,154 posts)2naSalit
(90,944 posts)SoCalDem
(103,856 posts)Last edited Mon Jun 24, 2019, 05:22 PM - Edit history (1)
Singles can opt for a roommate and lower costs
if you are a couple it almost mandates that both must work, and of course adds costs due to childcare, an extra vehicle etc etc..
and unless you have same-sex kids, a 2 bedroom does not work for many couples..
More and more people see every penny of earnings going to pay for a roof over their heads, child care, and vehicle expenses. Nothing left over for much of an actual life
There are probably more 2 BR than 1BR, so costs may be lower with a roommate than a 1 BR
Celerity
(46,154 posts)Polybius
(16,883 posts)Wouldn't 1 bedroom work for most singles?
SoCalDem
(103,856 posts)With a roommate for the 2nd bedroom and shares for utilities, it's more economical
2naSalit
(90,944 posts)but I would argue that it's far worse than indicated in this study. They chose Beaverhead County as their sample, not exactly balanced. I realize they coldn't go to places to examine the stats on the ground but some kind of inquiry of that sort would be needed to show just what is happening. It seems that the money makers are getting better at concealing the march to serfdom for the rest of us. But I'm not all that surprised when considering where the funding for this study originated.
It shows just enough to indicate that there is a potential problem but fails to show that there really is a major problem in this area of our economy.
Celerity
(46,154 posts)Kaleva
(37,649 posts)I looked at my state and county and the site said the fair market rent for a 2 BR apartment is $700. I thought that was high so I looked up some. Here is one 2 BR that rents for $493:
https://www.apartments.com/721-w-maple-mcmillan-township-mi/m5mbg2h/
My oldest stepson, who lives in another county 20 miles outside the biggest town in Upper Michigan, rents a 3 BR home with an attached garage for $500 a month plus utilities
Turin_C3PO
(15,163 posts)I think, overall, the data is trustworthy.
Kaleva
(37,649 posts)Just that looking at the places Ive lived in the past, the numbers seem to be fairly on point. I have no proof, just observation.
Kaleva
(37,649 posts)I probably could find some examples.
Turin_C3PO
(15,163 posts)Im just saying those numbers look about right to me, on average. Im sure you can find examples of cheaper places.
Kaleva
(37,649 posts)You could very well be correct. I find the site interesting and would like to see if the data is more or less accurate.
Turin_C3PO
(15,163 posts)Rents vary from unit to unit, even within the same neighborhood sometimes. It is interesting though.
former9thward
(33,132 posts)If you are renting a two bedroom place there is going to be at least two people making a wage. This makes as much sense as determining what wage is needed to rent a 10 room mansion.
Celerity
(46,154 posts)Single parent with non-adult children
former9thward
(33,132 posts)I sure you can find "exceptions to the rule" for anything but that does not invalidate the rule.
Celerity
(46,154 posts)There are hundreds (thousands?) of individual variables that go into the composition of every person's life situation. It would beyond all realistic scope of the charts to account for every possibility.
Kaleva
(37,649 posts)possibly child support, WIC if the children are young enough and other sources which would make their gross income higher then just minimum wage.
Celerity
(46,154 posts)to only 2BRMs, the interactive map includes different flat size rents as well).
This was never presented as a complete, multivariate breakdown of comprehensive life-costs for people in every possible situation. It just shows the cost of rent vis-a-vis 30% of income.
I used a single-parent as but ONE example to show where a 2BRM would possibly be rented by a sole income earner.
Turin_C3PO
(15,163 posts)and its not that great. I get $15 a month, making $971 on SSDI. Not that Im not grateful for the help I get, just saying its not a lot.
Kaleva
(37,649 posts)I canceled SNAP sometime ago.
Turin_C3PO
(15,163 posts)when Im out of money at the end of the month. I remember from seeing one of your previous posts that youre on SSDI also? You dont have to answer that question.
Kaleva
(37,649 posts)$1194 for SSDI and $140 from the VA. My home is paid for so I don't have to pay rent or a mortgage.
LanternWaste
(37,748 posts)And 110 f ain't uncomfortable, either...
Quite the series of imaginative allegations you've been creating recently. Hope it's not the heat.
brooklynite
(96,882 posts)One price point in NY, TX, CA? The minimum rents you're trying to cover are going to be all over the place.
Celerity
(46,154 posts)Princetonian
(1,501 posts)It is important that we all share this to those we know to spread the knowledge that a living wage is important. Though some may question whether all deserve a two-bedroom apartment, I hope we can agree that working families need to be able to live near where they work and afford other necessities.
Celerity
(46,154 posts)I am at the point where I wish I had never posted this at all, as it is going into all sorts of tangential directions that are exact situation-specific (and thus beyond the scope of a simple dataset of rent vis-a-vis wages needed to maintain the 30% max of income threshold.)
I already edited the OP to re-emphasise the interactive map that breaks the data down to county and metro area level.
Turin_C3PO
(15,163 posts)But Im glad you posted this, its very interesting and shows the need for higher wages or lower rent or, most likely, both.
Celerity
(46,154 posts)SWBTATTReg
(23,585 posts)I guess with some people, nothing is detailed enough or fine tuned enough to answer their questions / issues. Especially on a forum like this and especially in dealing w/ real estate (rentals in particular) for the entire country no less. Again, thanks so much for posting this...I found very informative and very helpful...
Princetonian
(1,501 posts)You misunderstood me. Hope you feel better.
beachbum bob
(10,437 posts)still a good chart to see
Celerity
(46,154 posts)More_Cowbell
(2,199 posts)In Northern California. Crazy.
Needless to say, I don't make that much *or* rent a 2-bedroom (I rent a 1-bedroom that's a "reasonable" $1643 per month because I've been here for almost 9 years).
Response to Celerity (Original post)
Chin music This message was self-deleted by its author.
KY_EnviroGuy
(14,581 posts)Bookmarked and noted. No damn wonder so many young adults have to live with their parents, even in rural Kentucky.
Interactive map is very handy, although some of the terminology is a bit dense.
KY_EG.....
Celerity
(46,154 posts)Yavin4
(35,827 posts)that the 1% get even richer.