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JDPriestly

(57,936 posts)
45. It depends on where you live.
Tue Mar 22, 2016, 12:55 PM
Mar 2016

And that is what the problem is.

How much money do you have to earn to rent a house in Los Angeles? These are 2014 numbers ( and remember, our population is about $110,116,000.):


As you can imagine, the numbers for Los Angeles are staggering. It would take an annual household income of $97,160 just to get the keys to a median-priced rental home in this market, Zillow says.
Keep in mind that this kind of income would nearly put you in the top one-fifth of income earners in the country.

In L.A, however, it would get you a smack-dab-in-the-middle, $2,429-a-month home.

Zillow's median-rent calculations skew toward single-family homes, its representatives have told us in the past. So this doesn't necessarily apply to average apartments, which tend to run about $1,000 or so less.

. . . .

Put another way, Zillow says, each person in a two-earner family in L.A. would have to make $24.50 an hour, 40 hours a week, in order to afford the rent on a median home in this market.


http://www.laweekly.com/news/it-takes-nearly-100-000-a-year-in-income-to-rent-an-average-la-house-5289964

Remember, a lot of people (like us) move to Los Angeles because this is where the job is, the one we can't do or find anywhere else, and not because we have the money or can even earn enough money to afford to live here in the style in which we might live in some other city or town in America.

I don't think you could find a house anywhere in Los Angeles, and certainly not in Silicon Valley for $270,000. Nor could you buy gasoline for $2.57 or $2.38 in Los Angeles or Silicon Valley or San Francisco, maybe nowhere in California. Milk is also more expensive here.

The median income in Los Angeles varies widely from area (ghetto you could call it because our city is so divided into housing regions by income and to some extent ethnicity and/or race -- we have Koreatown, Little Tokyo, Chinatown, etc. as well as Bel Air and Beverly Hills) of our city to area (ghetto). In downtown, the median income is $15,003 per year but in Bel Air it is $207,938 per year. Assuming a 40 hour week, 52 weeks of the year, that is 2080 hours a year and in downtown that amounts to $7.47 per hour and in Bel Air that amounts to about $100 per hour. That's median income.

Note that this list does not include the many, many homeless people in Los Angeles. Our city is trying to house all the homeless, but it is a nearly impossible job. So we see tents or carts with sleeping gear stationed under bridges and in other areas of the city. Beggars, and I have even encountered them IN grocery stores. The poverty in Los Angeles is easy to see. Yet look at the list of median wages from which I have drawn the following information.

So there is the rub. Let's look at some areas of Los Angeles and the median income:

Bel-Air, $207,938

Pacific Palisades, $168,008

Brentwood, $112,927

Beverlywood, $105,253

Northridge, $67,906 (There is a University of California there.)

East Los Angeles, $38,621

Koreatown, $30,558

Watts, $25,161

Chinatown, $22,754

http://maps.latimes.com/neighborhoods/income/median/neighborhood/list/

People who know Los Angeles will know what these areas are. You can tell why I use the word "ghettos" about some areas of Los Angeles if you look at the names of some of these areas.

This list is just a sampling of the kind of disparity of wealth that we in big cities are aware of. If you look at this and realize that so many but not all of the middle income areas, the areas that have a median income that is represented as median for the nation as a whole in the OP are further away from the center of town. They are suburbs or out and require that people who work in the centers of the city (and there are several) have to drive to get to work -- drive on very crowded freeways. It is very difficult to live in Los Angeles without a car.

I'd like to add that the prices on food also vary according to the neighborhood in Los Angeles. They can vary greatly. That I suppose is due to the differences in the rents on the spaces of the stores. I live in a less expensive area, and the food here is cheaper in our grocery than it is in the Wilshire/Fairfax area even.

Everything about life and the quality of everything is different from community to community in Los Angeles.

We are a huge city. You can take a bus from downtown to Santa Monica on the coast, but there is no metro-rail at this time, no train. The West side tends to be the expensive side of town, and even the transportation to get there is impractical and time-consuming.

So the numbers in the OP represent the medians and averages across the country, but they do not represent the fundamental truth about our country that IS REPRESENTED by the numbers in Los Angeles. We have tremendous differences according to your class with regard to where you live, what you earn, and what your opportunities are in life if you are a young child.

It's called income disparity. We see it very clearly in cities like Los Angeles and in areas like Silicon Valley. And it is what Bernie Sanders is responding to. It is rather understandable that his message did not resound so well in the Midwest where I think these disparities in wealth are not so extreme and so obvious. But here on the West Coast where the jobs are and the weather is enticing, boy, is it obvious.



Recommendations

0 members have recommended this reply (displayed in chronological order):

This is a chart worth several thousand words. Thanks. (nt) enough Mar 2016 #1
I can only imagine the difference in health care costs n/t zazen Mar 2016 #2
On the other hand... jomin41 Mar 2016 #3
see - eggs and millk are cheaper 6chars Mar 2016 #4
Milk does seem pretty cheap FrodosPet Mar 2016 #38
If you like added hormones, antibiotics, and other innovations cprise Mar 2016 #65
College is certainly out of line, but houses/cars are apples and oranges whatthehey Mar 2016 #5
furniture and appliances are rare purchases hfojvt Mar 2016 #37
Wish I could agree about appliances' being rare purchases. spooky3 Mar 2016 #53
Very true, My parents had a refrigerator for 30 years with no repairs needed. jg10003 Mar 2016 #55
We just replaced an 8-year-old refrigerator. phylny Mar 2016 #58
The Sub Zero won't last any longer awoke_in_2003 Mar 2016 #66
Sub Zero's are produced in Madison, Wisconsin - Why do people make stuff up when you have googles? snooper2 Mar 2016 #73
yup shanti Mar 2016 #61
They didn't include rent and that has certainly increased LisaM Mar 2016 #51
Exactly. My 75 car was nothing like even the cheapest available nowadays. Hoyt Mar 2016 #52
No, the larger houses are a liability, if anything cprise Mar 2016 #64
Many people buy larger homes as an investment and a way to Jim Beard Mar 2016 #70
But they are more expensive whatthehey Mar 2016 #76
Great! I'll have a bunch of eggs and a carton of milk with my movie ticket. Helen Borg Mar 2016 #6
still-- wages haven't kept up with the decline in the dollar over the past 40 years. Fast Walker 52 Mar 2016 #7
That is the point. With the wages we had in 75 we are paying jwirr Mar 2016 #30
It seems that most of the items that go into cost of living adjustments are lower but LiberalArkie Mar 2016 #8
the median income is down edhopper Mar 2016 #9
in many places, minimum wage is less than 8.25 an hour nt redruddyred Mar 2016 #10
The chart may be using a national average n/t Gormy Cuss Mar 2016 #14
i wonder how it would look had they charted for 2011 redruddyred Mar 2016 #15
Walmart starts at $9.00. former9thward Mar 2016 #75
out of the goodness of their cherubic corporate hearts of course! redruddyred Mar 2016 #77
Nothing to do with organized labor. former9thward Mar 2016 #78
you're delusional redruddyred Mar 2016 #79
Its clear you are just making stuff up. former9thward Mar 2016 #80
welcome to my ignore list, winner redruddyred Mar 2016 #81
If I recall, 1975 was in the middle of a bad inflationary period. tclambert Mar 2016 #11
The peak, actually. malthaussen Mar 2016 #20
? jtuck004 Mar 2016 #34
I was referencing a different graph. malthaussen Mar 2016 #35
One thing people need to know is that the way reagan dropped that was by neglecting people. jtuck004 Mar 2016 #39
Items not well defined Cryptoad Mar 2016 #12
Seriously. malthaussen Mar 2016 #21
I Had A Pinto Too ProfessorGAC Mar 2016 #36
house costs are going to vary anyway, depending on location hfojvt Mar 2016 #43
In 1975, my father worked in the steel industry, my mom stayed home with us kids... Moostache Mar 2016 #13
why even have kids at this point, i wonder, redruddyred Mar 2016 #17
It's the reason for the declining birth rates in the G8 countries. roamer65 Mar 2016 #59
what dyou think of The Billary's assertions that legalizing unauthorized immigrants redruddyred Mar 2016 #82
But I have another anecdote whatthehey Mar 2016 #18
Who claimed as much? LanternWaste Mar 2016 #25
I don't take your point... Moostache Mar 2016 #33
No. I'm implying, or rather explicitly stating, anecdotes are not data whatthehey Mar 2016 #41
Necessities: They're KILLING US. HughBeaumont Mar 2016 #16
Interesting that the chart uses 1975 as a baseline... malthaussen Mar 2016 #19
"Gripping hand" ftw. Ursus Rex Mar 2016 #24
Yeah, the evaluation is incomplete without insurance costs. malthaussen Mar 2016 #27
Stamps! look at stamps! The thing Congress likes to control with an iron fist, mountain grammy Mar 2016 #22
And that chart actually lies about stamps. malthaussen Mar 2016 #28
So what's your point, liberal? beastie boy Mar 2016 #23
And what was the price of internet, cell phones and cable in 1975 edhopper Mar 2016 #26
huh? CountAllVotes Mar 2016 #40
I meant there are cost that weren't there in 1975 edhopper Mar 2016 #50
Without child care costs and medical Csainvestor Mar 2016 #29
I know my son pays a little over $800 dollars a month for daycare for my granddaughter. B Calm Mar 2016 #47
What is really making a difference is commhnication costs - cell phone, cable tv, internet costs. zstat Mar 2016 #31
+1 Auggie Mar 2016 #42
We had an antenna (free tv) SoCalDem Mar 2016 #49
We live in a rural area and the only way we can watch TV now is on satellite. When TV stations went B Calm Mar 2016 #72
In 1977 Mendocino Mar 2016 #32
1975 was a time of pretty steep inflation. If your baseline was 1965, it'd be much worse Bucky Mar 2016 #44
So true! B Calm Mar 2016 #48
From the baseline of 1965, prices are generally about 10 times higher. roamer65 Mar 2016 #57
It depends on where you live. JDPriestly Mar 2016 #45
Message auto-removed Name removed Mar 2016 #46
Bureau of Labor Statistics - Consumer Price Index inflation calculator link jg10003 Mar 2016 #54
In 1976 I bought a brand new Ford F150 for $3,000.00. A new one today costs around $30,000.00 B Calm Mar 2016 #60
Yeah, and it was leaking oil from the rear crankshaft seal after 23K miles LOL snooper2 Mar 2016 #74
Never had any problems with that truck. B Calm Mar 2016 #83
Not if you limit it to the options available in 1972 (nt) Recursion Mar 2016 #69
Don't forget interest on saving accounts, 5% in 1971 with no fees. jg10003 Mar 2016 #56
CD paying 5% would be sweet. I'm retired and on a limited income. B Calm Mar 2016 #62
Wow, a new house is 25% cheaper now! mathematic Mar 2016 #63
Medical care!!! Utilities? nt slipslidingaway Mar 2016 #67
Ah, inflation trutherism Recursion Mar 2016 #68
It looks like that "median income" is median household income. surrealAmerican Mar 2016 #71
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