Long gone are the days when you could arrive in New York City with a suitcase, $20, and a dream.
Vivian Armacost found this out the hard way after she moved from Indiana to New York to pursue a career in consulting. She did the smart thing and created a housing budget for herself. But to her surprise, this didn't match the Big Apple's market demand.
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“I'm embarrassed to say my budget is $2,300 when I talk to brokers or people who rent apartments,” she says in an interview. Viral tik tok Since late last year.
Someone at a New York building rental office told her that this was “a very low budget” and that she was unlikely to have an apartment within that range for herself.
That seems like a pretty big budget for a 20-year-old working her first job, but as the data shows, Armcost likely isn't the only one being priced out of rent in the big city.
So nice, they charge twice
The leasing agent wasn't exaggerating when she told Armacost that the $2,300 budget might be tight. The average monthly rent for an apartment in New York City is $4,163, according to a report Latest numbers From Rent.com.
Armacost isn't the only one feeling the pain. More than half of the city's residents are rent burdened, meaning they spend more than 30% of their income on rent and utilities, according to a 2021 report. analysis From the non-profit Community Service Association of New York. Given the way rent has been trending since then, there are likely more New Yorkers burdened with rent now.
It is not surprising that the cost of housing has risen The expulsion of the middle class from New York. Census figures show the city's population has declined by 5.3% since the outbreak of the pandemic, most of that due to its residents fleeing to… Cheaper pastures.
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Leave the Empire State behind
Armacost hails from Indiana. Maybe her wallet would have preferred to stay there.
More and more young people can't afford New York or California anymore. Instead, they look towards Midwest Due to high housing affordability.
Given that Rent.com puts the national average monthly rent at $1,964, Armacost's $2,300 would be a good monthly rental budget in most other U.S. cities.
However, you may want to do some research, as high rent is not a problem exclusive to New York City. San Jose, Boston and San Francisco aren't too far away, with rents ranging from $3,795 to $3,631. So Generation Z across the country may have problems on either coast.
However, it is not only young people who face this problem. Many people approaching retirement face the same affordability crisis. New York because it's one of those crises The most expensive metro Places in states like Mississippi, Oklahoma, or Alabama are much cheaper Living after retirement.
Of course, for those who don't want to make a big cross-country move, there are other options. Commuter towns, or bedroom communities, have long been a less expensive option for those who want proximity to a big city but at a less expensive rent. One TikTok commenter from Armacost has a suggestion for her (and anyone else struggling with the high cost of living): Go to New Jersey.
The user, who goes by @jamais_vmin_, says moving there was the “best decision ever” because he could buy a “huge” house with a garage and backyard for $1,700 a month. New York is no longer “worth it” to them.
“Secondary cities” also provide residents with an alternative. These are smaller cities that are often cheaper than larger metros, according to real estate analysis website Globe St. These include places like Seattle, Nashville, and Las Vegas.
But Armacost continues to try to get into the Big Apple. She recently posted on TikTok that she had been selected for the New York City housing lottery, which provides affordable housing. Can she hack it? Only time will tell.
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This article provides information only and should not be construed as advice. They are provided without warranty of any kind.
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