Posted on 05/23/2024 8:49:47 AM PDT by ChicagoConservative27
The Big Apple has become so unaffordable, even six-figure salary earners are finding themselves priced out.
That’s according to a new report from real estate listings website StreetEasy, which says that New York City apartments have become so expensive, it’s not just lower income households struggling to pay rent. Those in the tech sector, where annual wages are $135,089 — 52% higher than average — could afford only one in three NYC rentals on the market in 2023.
For entry-level tech workers, who make an average salary of $75,262, only 2.1% of studio and one-bedroom rentals were within reach, which StreetEasy defines as costing less than 30% of gross annual income.
As a result, newly graduated techies are incentivized to take jobs in more affordable metros, “making it harder for NYC employers to hire and retain these workers eager to start their new careers,” the report says.
(Excerpt) Read more at nypost.com ...
I can tell you who I voted for, but I must insist it doesn’t make a whit of difference. How people cannot see that is beyond me. Especially people who can’t help but be aware of the godfather of election rigging machines: Daley’s Democrat Machine.
But, notwithstanding that, “high-earning tech workers” are about the highest-taxed wage earners in the economy, especially in NYC.
Supply and demand. Someone is paying those prices.
Somebody can afford them or they wouldn’t be the price they are
In NYC it has long been common for say three people to split the cost of a three-bedroom apartment.
Only ‘Marlo Thomas’ fictional types get a first-class place by themselves.
“The Odd Couple” had two professionals share the cost of a place.
Property prices have gone out the window.
20 years ago, bought a small bungalow house on a pretty 2 acres for ~$50K, property taxes about $1K /year, good schools. A great rental investment.
Today
That house is now ~$450K, property taxes ~$8,000 / year and the school is overrun with troubles.
Owners can’t get a reliable tenant to cover the carry costs and doesn’t want to live in it.
Glad I got out when I did.
....I waiting for the guy.....
Blame it on rent control. You’d be stupid to give up an NYC apartment if you have one, and not pass it on to your heirs.
“less than 30% of gross annual income”
The 30% metric dates to the 1950s, about 70 years ago. It is as outdated as an 1880s horse-drawn carriage was in 1950.
The millions of well-paid jobs were in industry, which could locate anywhere in the USA.
Tech work is unreliable as technology is tough to develop and gets replaced quickly. This causes tech workers to prefer areas with lots of tech jobs. The result is tech area rent rates tend to be very high.
That’s a very skillful argument, but, sadly, I find myself unpersuaded by it.
there are a LOT of conservatives in tech, Ive been in industry since the 90’s and other than the absurdly liberal ones you hear and see in the news the vast majority are normal upper middle class who don’t like what is goign on one bit.
Using a percentage such as 30% is absurd.
Imagine city 1 with rent of $1,200/month.
Imagine city 2 with rent of $2,400/month.
If people lived in city 1 and paid 30% of their income in rent, they’d have $2,800 left over monthly after paying their rent (if there was no income taxation).
If people lived in city 2 and paid 30% of their income in rent, they’d have $5,600 left over after paying their rent (if there was no income taxation).
If rents were merely 30% of income, most people would probably choose city 2, increasing the demand in city 2 and lessening it in city 1.
In a rational world eventually the rents in city 2 will go up so the after rent (and income tax) free to spend on other stuff amounts in both cities will be about the same.
in Ethiopia, kid with a fresh popsicle considered rich there" in the U.S. not so much.. so. How much MSM b.s. are you going to swallow?
“Even high-earning tech workers can’t afford most NYC apartments”
Unless they or a family member already are renting a rent-controlled or rent-stabilized apartment.
The high rents are mostly a factor (1) new residents or (2) residents of apartments never placed in rent-control or rent-stabilized standing. And the market rates are as high as they are, in part, because half of all units in NYC are NOT allowed to go to market rate but held under rent control or rent stabilized rules. Those rules shrink the supply of units available to newcomers who must contend with market rates. In sum, the “market” is rigged in favor of incumbent renters who managed to get in under rent control or rent stabilization, and those folks don’t move at all unless or until they are leaving NYC altogether. I have known very few NYC residents who have ever changed their NYC residence. The rigged market keeps them hanging on to what they got.
I have family who have a NYC apartment, under rent-stablization. They are still paying under $2,000 for large 2 bedroom apartment that a newcomer will have to pay $5,000+ for.
If you look in the movie that apt was pretty damn big.
I just returned from New York City. The dirtiest city I’ve ever been in.
Spoke to a number of locals who told me no one can live there unless they are very rich, workers live a long commute away.
Reminds me very much of San Francisco...the smell of urine everywhere...
in Ethiopia, kid with a fresh popsicle considered rich there" in the U.S. not so much.. so. How much MSM b.s. are you going to swallow?
One day a real rain is going to come.
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