Markets & EconomyRentals

Rising costs putting pressure on renters: NLIHC study

Report highlights mismatch between wages and rent prices
  • According to the National Low Income Housing Coalition, the average full-time worker must make $21.21 per hour to afford a basic, two-bedroom apartment and $17.14 per hour to afford a one bedroom -- well above the national federal minimum wage of $7.25.

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Renting is often touted as an affordable alternative to homeownership, but recent studies have revealed that renters are feeling the pressure of rising rents just as much as buyers are struggling to find reasonably priced homes. According to the National Low Income Housing Coalition's latest study, "Out of Reach: The High Cost of Housing," the average full-time worker must make $21.21 per hour to afford a basic, two-bedroom apartment and $17.14 per hour to afford a one bedroom. For some, these hourly wages may seem easy to reach, but NLIH says the average hourly wage is $16.38 -- $4.83 lower than the two-bedroom housing wage, and 0.76 cents lower than the one-bedroom housing wage. “That difference means too many families must choose between paying for their shelter and buying diapers, fresh food, childcare or medicine,” said U.S. Representative Keith Ellison (D-MN) of the coalition's findings. “These choices are only necessary because our most vulnerable communities ...