SF requires highest hourly wage to afford 2-bedroom apartment

Study: Honolulu Workers Need $39 An Hour To Afford A 2-Bedroom Rental

Study: Honolulu Workers Need $39 An Hour To Afford A 2-Bedroom Rental

It's an annual report to document the gap between wages and the cost of rental housing across the United States.

The National Low Income Housing Coalition released its annual "Out of Reach" report Wednesday.

The annual Out of Reach report from the National Low Income Housing Coalition analyzed every county in the US and found that there isn't anywhere that someone working a minimum wage job, 40 hours a week, can afford a two-bedroom. FMR Rent for a one-bedroom apartment is $619, which requires 57 hours of work per week at the minimum wage of $8.30, and the numbers are even higher in cities like Cleveland and Cincinnati. Fair Market Rent is Housing and Urban Development's best estimate of what a household seeking a modest rental home in a short amount of time can expect to pay for rent and utilities, according to the report. The study looks at how much money full-time workers need to earn to afford housing without spending more than 30 percent of their income - known as a housing wage. "Building that political will take a combination of increased civic engagement-to ensure that low-income renters vote at similar rates as higher income homeowners - and expanded coalitions that include the health, education, civil rights and faith-based communities, all of which have a stake in ensuring more people are affordably housed".

Housing costs have continued to rise with growing demand for rental housing in the decade since the Great Recession.

The average housing wage needed in the Youngstown-Warren area $13.17 per hour.

Of the 10 most expensive metropolitan counties, eight are in California, one is in NY and one is in Hawaii. In Seattle, the minimum wage now ranges from $11.50 to $15 an hour depending on the size of the employer and benefits offered. That means even those making above minimum wage struggle to afford rent.

The map below shows the hourly wage needed to afford a fair-market rent, one-bedroom apartment by state, assuming a 40-hour work week, 52 weeks a year, as calculated by the NLIHC. Each has a higher minimum wage than the $7.25 federal minimum. While the rental market added more than 6.7 million housing units during this period, the number of units renting for less than $800 declined by more than 260,000. As it stands, only 1 in 4 households eligible for federal rent assistance gets any help, the report said. Bernie Sanders in the report's preface.

"We need innovative solutions, like the Smart Housing Mix policy, so that we're all pitching in to ensure everyone in New Orleans can stay and thrive", said Cashuana Hill, the Fair Housing Action Center's executive director.

The report also questions "filtering", the idea that if developers just keep building enough market-rate housing, that housing will eventually become affordable for low-income people.

Low wages are compounded by a shortage in federal housing assistance.

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