@[email protected] to [email protected] • 1 year agoRenters need to make roughly $20,000 more a year to afford the typical rent than they did 5 years agofortune.comexternal-linkmessage-square158fedilinkarrow-up1788cross-posted to: [email protected][email protected]
arrow-up1788external-linkRenters need to make roughly $20,000 more a year to afford the typical rent than they did 5 years agofortune.com@[email protected] to [email protected] • 1 year agomessage-square158fedilinkcross-posted to: [email protected][email protected]
minus-square@[email protected]linkfedilink5•1 year agoif the rent is, for instance, 40% of income then the additional income is also to offset the 60% nonrental income. eg if you pay 400 in rent and now its 700 your overall income needs to go from 1000 to 1750 to maintain the same level of affordability.
minus-square@[email protected]linkfedilink1•1 year agoThat’s a major issue about inflation - it’s really just an additional tax. In inflation, cost of living goes up, income/wages do not.
if the rent is, for instance, 40% of income then the additional income is also to offset the 60% nonrental income.
eg if you pay 400 in rent and now its 700 your overall income needs to go from 1000 to 1750 to maintain the same level of affordability.
That’s a major issue about inflation - it’s really just an additional tax. In inflation, cost of living goes up, income/wages do not.