Most new Yorkers can’t pay the rent

Most new Yorkers can’t pay the rent

Inhabitants of apartment houses in new York, noted that before you give the keys to the apartment, many landlords require proof that their income is at least 40 times the monthly rent. However, the income of most tenants is not permitting to do this.

The informal rule is that people looking for an apartment without a guarantor, must focus on the apartments, the rent for which does not exceed 30 percent of the amount of their income. But the gap between rent and income continues to grow, and more and more new Yorkers break this rule and pay more than 30%.

StreetEasy has conducted a study on the availability of the lease. Been studied Board in each district, Manhattan, Brooklyn and Queens. Then the data were compared with the average income of people in each district. However, the study did not take into account the fact that many new Yorkers go to the craft to reduce the cost of rent, for example, people sat in their apartment and divide the sum of all residents.

Only one district out of the three boroughs were «available» — Inwood. The average rent here is 1 825 USD per month, and the annual income required to stay in the area is 73 000 US dollars — six percent less than the average income of a resident of Manhattan.

Manhattan was the most expensive but also the most accessible: as mostly apartments are rented to people with a good income (that is, those who can afford to live here). The average rent in Central Park South, the most expensive area of Manhattan is for residents 6 $ 850 and the recommended income reaches 274 000 dollars. This means that the other resident of Manhattan with an annual income of 77 559 USD who wants to move here, will have to increase the amount 253,3 percent.

The study showed a strong mismatch between demand for rental housing in Brooklyn and Queens and the required income to stay in these areas. This is because, although the demand is below the recommended earnings of the residents of these areas still exceeds the average among residents of new York.

The results showed that the average required income of potential tenants apartments at least 50% higher than the average earnings of new Yorkers.