At least triple them. Rent for a decent studio in NYC is 3500.00 a month and you need to have at least 400K in the bank to qualify. I know, I had to sign for my daughter to live in Brooklyn. To co-sign I had to prove I had over 400K in cash in the bank And she had to clean the apartment just to move in. And she had to sign a 5 year lease.
“At least triple them. Rent for a decent studio in NYC is 3500.00 a month and you need to have at least 400K in the bank to qualify. I know, I had to sign for my daughter to live in Brooklyn. To co-sign I had to prove I had over 400K in cash in the bank And she had to clean the apartment just to move in. And she had to sign a 5 year lease.”
The both of you agreed to cough up $210,000($3,500x5x12). You had $400,000.
Could you not have used $250,000 of that $400,000 to buy a nice house in a nice town and let her pay you a fair return on your $250,000?
Could you not have used $150,000 of that $400,000 to buy a OK house in an OK town and let her pay you a fair return on your $150,000?
As for “had to”, only a small percentage of Americans have such a capability.
The author of this article is described as, “a money reporter at CNBC Make It. He previously covered personal finance topics for Lifehacker.” It’s one thing for him getting it so wrong, but quite another for his editor to miss it also.