Skip to main content

Renting In NYC? Fuggedaboutit!

Phil Hall
Sep 09, 2015
Crown Heights Pic/Credit: lightphoto

It is no secret that homeownership is more economically feasible than renting in most metro markets. But in New York City, renting has become utterly impossible for the lowest wage residents.

A new study by StreetEasy has determined that New Yorkers need to earn an hourly wage of at least $38.80 to afford the city’s median asking rent of $2,690. StreetEasy was unable to identify any New York City neighborhood where workers earning the state’s minimum wage of $8.75 per hour afford the median rent.

“Even if the minimum wage was increased to $15 per hour for the tens of thousands of fast food workers in New York City, as was recently recommended by a panel appointed by Gov. Andrew Cuomo, the rent affordability landscape would be largely unchanged,” said Alan Lightfeldt, a data scientist at StreetEasy. “A New Yorker earning $15 per hour could afford just one neighborhood—Throgs Neck in the Bronx. Workers living there need to earn an hourly wage of at least $13.64 in order to afford rent. Other neighborhoods that come close to the $15 proposed minimum wage are New Dorp ($15.76), Woodstock ($16.45), Fordham ($16.79), and Far Rockaway ($17.09).”

Lightfeldt added that the city’s higher-than-average cost of living would further deplete the finances of anyone seeking affordable housing.

“The extent to which rent growth has outpaced income growth in New York City means low-wage workers face three options: find several roommates to lower their personal rent burden, take on more than one job, or move out of New York City,” Lightfeldt stated.

Published
Sep 09, 2015
Fannie Mae Extends Multifamily Protections Indefinitely

Fannie Mae announced that its multifamily COVID-19 forbearance program has been extended indefinitely to support multifamily property owners and renters experiencing financial difficulties due to COVID-19.

Industry News
Sep 27, 2021
LoanDepot Lawsuit Alleges Wide-Scale Fraud

'One of the most egregious wide-scale fraud for profit schemes since the years leading up to the Great Recession.' 

Industry News
Sep 27, 2021
Federal Regulators Race To Address Cryptocurrency Risks

Cryptocurrency is quickly morphing into a volatile but widely embraced innovation, and federal regulators are racing to address the potential risks to consumers and the market. 

Industry News
Sep 24, 2021
MBA Initiative Seeks To Close Racial Homeownership Gap

Says its advocacy, partnerships & connections will help increase opportunities for minority borrowers

Industry News
Sep 24, 2021
Guaranteed Rate Opens New Branch In Southwestern Michigan

Guaranteed Rate expanded its presence in Southwester Michigan, after opening a new branch in St. Joseph

Industry News
Sep 22, 2021
Chinese Property Giant Evergrande Falters, Threatening U.S. Investors

On Monday, investors across three continents dumped their stocks, mainly out of fear that the world’s two largest governments — the United States and China — would undercut the beginnings of a global economic recovery. 

Industry News
Sep 22, 2021