Living in the most significant U.S. cities comes with its own set of financial challenges, especially when it comes to rent. As rental prices continue to surge, understanding how much you need to earn to live comfortably in these areas is critical. Let’s dive into the top 10 highest and lowest-rent cities in the U.S. for 2024 and explore what it takes to call these places home.
We’ve gathered data from Zumper and RentCafe, but before we get into the list, let’s discuss determining the income needed to live comfortably in these cities. The general rule is to spend no more than 30% of your gross income on rent. This helps ensure that housing costs don’t absorb too much of your budget, leaving room for other essentials, savings, and hobbies. But in some of these high-cost cities, the reality is that many people may have to allot more than 30% of their income toward rent.
The 10 Most Expensive Cities to Rent In.
1. New York, NY: First up is New York City! This city is known for never sleeping and living the NYC dream but has a hefty price tag. With an average monthly rent of around $3,802, NYC is pretty expensive. To live comfortably here, you must earn at least $152,076 annually.
2. Boston, MA: With its rich history and prestigious universities, Boston’s charm comes at a cost. The average rent is $3,225, meaning you’d need an income of approximately $129,000 annually to live comfortably.
3. Jersey City, NJ: Just a trip across the Hudson River, Jersey City offers a slightly more affordable option with an average rent of about $3,024. To enjoy the skyline views and vibrant culture, you’d need an annual income of around $120,960.
4. Los Angeles, CA: The entertainment capital of the U.S., Los Angeles, has an average rent of $2,988. An annual income of $119,520 is necessary to live comfortably amongst the lights, cameras, and action.
5. San Francisco, CA: The Golden Gate City has an average rent of approximately $2,848. You’d need to make about $113,920 per year to afford this lifestyle.
6. San Jose, CA: San Jose is part of Silicon Valley and has an average rent of $2,799. An annual income of $111,960 would be needed to enjoy this city’s lifestyle.
7. Arlington, VA: Close to the nation’s capital, Arlington’s average rent is $2,508. An income of $100,320 per year is necessary to afford this. The proximity to Washington, DC, makes it a prime spot for professionals.
8. San Diego, CA: Known for its stunning beaches and relaxing ambiance, San Diego’s average rent is $2,296. A comfortable life requires an income of around $91,840 annually.
9. Washington, DC: The political heart of the U.S., Washington, DC, has an average rent of $2,283. To live here comfortably, you must earn about $91,320 annually.
10. Miami, FL: Last up, we have the sunshine city of Miami. Its average rent is $2,081. To live here without financial strain, you should earn around $83,240 per year.
The Budget-Friendly: Top 10 Cities With the Lowest Rents
1. Louisville, KY: Louisville’s average rent is $850. To live comfortably, you’d need to earn about $34,000 annually.
2. Little Rock, AR: With an average rent of $850, living in Little Rock requires an annual income of approximately $34,000. The city is known for its natural beauty.
11. Memphis, TN: Memphis has an average rent of $850. To live comfortably, you’d need to earn about $34,000 annually.
12. Des Moines, IA: The average rent in Des Moines is $850, requiring an annual income of around $34,000 for comfortable living.
13. El Paso, TX: With an average rent of $825, living in El Paso requires an income of approximately $33,000 yearly.
14. St. Louis, MO: The average rent in St. Louis is $825. To live comfortably, you would need to earn about $33,000 annually.
15. Tulsa, OK: The average rent in Tulsa is $825, requiring an annual income of around $33,000 for comfortable living.
16. Wichita, KS: Nearing the top of the list of affordable cities, Wichita’s average rent for a one-bedroom apartment is $693. To live comfortably, an annual income of around $27,720 is sufficient—small-town charm at its best.
17. Toledo, OH: With an average rent of $650, living in Toledo requires an annual income of approximately $26,000.
18. Akron, OH: Akron’s average rent is $650, making it one of the most affordable cities. An annual income of $26,000 is sufficient for comfortable living.
How This Impacts Us
You may be wondering about the Black population in the cities we’ve mentioned; here are the top five with the highest percentages. According to the U.S. Census Bureau, Memphis, TN, stands out, with about 64.4% of its population being Black. Washington, DC, follows with approximately 44.30%. St. Louis, MO, has a significant Black community, making up 44.8% of its population. Little Rock, AR, also has a large Black population, accounting for 41.48% of its residents. Lastly, Louisville, KY, has around 23.94% Black population.
Living in the largest U.S. cities can be financially challenging, especially in areas with the highest rents. However, affordable options still exist for those looking to explore different locations, and some places are more diverse than you might expect. Understanding the cost of living and planning your finances accordingly are essential steps for a successful move. So, take some time to consider your options. Who knows, you might find yourself wanting to move to an entirely different coast!
