According to a new report that was released by the NLIHC, Massachusetts is one of the priciest states for renters in general. When it comes to suburban and rural renters, Massachusetts is the most expensive state. The study reported that in order for an individual to afford a 2-bedroom apartment in a non-metro part of the state of Massachusetts, they had to have an average salary of $29.68/hour. Apparently, expensive resort areas have a large influence on the inflated rental prices. For example, Nantucket County is reportedly the 7th priciest area in the country, requiring an hourly salary of $32.56/hour in order for renters to afford a 2-bedroom.
“Danilo Pelletiere of NLIHC said, “The so-called weakness in the housing markets has not translated into affordability for Americans, as the stock of housing is mismatched to the need.”
It was reported that renters account for approximately 35% of the housing market and average an hourly wage of $16.17. Nationwide, the average estimated wage for renters is $13.52 this year. Last year the average estimated wage was $14.44/hour. Furthermore, the NLIHC report shows that despite unemployment rates remaining high, rent nationwide is continuing to increase. The average family in the U.S. is said to be required to make over $38,000 annually in order to afford a 2-bedroom apartment—$18.46/hour on average for families living on one wage-earner’s income.
Are you surprised to learn that the rental rates for Boston real estate is so high compared to the rest of the country?