Most financial advisors say that renters should never pay more than 30 percent of income on rent.
It’s good advice for the folks in Wichita, Kansas, where the average rent for a one bedroom apartment is $555, according to rental market analysis site, Rent Jungle, and the median per capita income is approximately $25,000.
But in New York City? Good luck. The average rent for a one bedroom apartment currently hovers above $3,000 per month, while the median per capita income is $32,500. For one person to rent that while still budgeting “responsibly,” the renter would need to make around $108,000 in post-tax income.
While most people in these cities tend to have higher incomes — the median per capita income in New York is roughly $4,000 above the national average and in San Francisco it’s about $13,500 higher — most renters in these cities still spend more than the recommended 30 percent on rent.
In 2015, the San Francisco housing market repeatedly made news with its skyrocketing cost of living and the increasing gentrification. However, this city by the bay isn’t the only one trying to take your money.
Using data from the American Community Survey, the following is a look at cities with populations larger than 300,000 people with the highest median gross rent.
Note: Median gross rent is based off of a rental “unit.” It is important to note that the American Community Survey does not distinguish between units with different numbers of bedrooms and bathrooms.