SAN FRANCISCO, Dec. 27, 2017 /PRNewswire/ -- Renters in
Chicago spent more than half their
workdays in 2017 earning enough money to cover the rent, according
to a new analysis from HotPads®. This doesn't include time spent
working to pay for other living expenses, like food and
transportation.
There were 260 workdays in 2017, and the typical Chicago renter earning the median income
worked 143 of those in order to have enough money to pay rent this
year. The median annual income in Chicago is $39,380, while the median rent is $1,795 per month, or $21,540 per year. This means Chicago renters are spending about 55 percent
of their working time earning enough money just to pay rent.
Nationally, 13 percent of renters report living with roommates to
offset these high costs.i
The gap is wider for Chicago
renters making less than the city's median income. For example,
baristas worked 283 days this year in order to afford the average
rental in Chicago, and those in
retail worked 244 days. In comparison, financial analysts worked
about half the average time -- just 71 days -- to earn enough to
pay rent this year.
"With only 260 working days a year, Chicago renters are faced with the reality
that they will spend more than half of them just trying to make
their rent," said Douglas Pope,
co-founder and general manager of HotPads. "Luckily, there are
plenty of vibrant Chicago
neighborhoods for renters to consider that are below the city's
average median rent, such as Marquette Park and Pullman. Renters
can also consider doubling up with roommates to reduce some of that
burden the cost of rent puts on their wallets."
Financial experts recommend renters dedicate no more than
one-third of their monthly income toward a rental payment, but even
renters who are comfortable spending half their paycheck on rent
still have few options within the city.
Baristas who are comfortable spending half their income on rent
each month can only afford to do so in the Marynook neighborhood,
where the median rent is $775 a
month. Retail workers have a few more options, including Marquette
Park, Pullman and The Island.
Meanwhile, financial analysts can afford to live alone in any
Chicago neighborhood if they are
comfortable putting 40 percent of their income toward rent. In West
DePaul, for example, where median rent is $2,750 per month, a financial analyst will need
to devote 41.5 percent of their annual income -- or 108 workdays --
toward rent.
HotPads is a Zillow Group owned apartment and home search
platform for renters in urban areas across the United States. For more information on
Chicago's rental market, visit
HotPads.com.
Time Worked for Rent in 2017 by Job Category
Job
Category
|
Median
Annual
Incomeii
|
Hourly
Wageiii
|
Cost of Rent
for the
Entire Yeariv
|
Hours Worked
for Rent in 2017
|
Days
Worked
for Rent in
2017v
|
All
Occupations
|
$39,380
|
$18.93
|
$21,540
|
1,138
|
143
|
Baristasvi
|
$19,800
|
$9.52
|
$21,540
|
2,263
|
283
|
Retail
Salespeople
|
$22,980
|
$11.05
|
$21,540
|
1,950
|
244
|
Teachers
|
$49,900
|
$23.99
|
$21,540
|
898
|
113
|
Registered
Nurses
|
$73,360
|
$35.27
|
$21,540
|
611
|
77
|
Financial
Analysts
|
$79,890
|
$38.41
|
$21,540
|
561
|
71
|
Days Worked for Rent in 2017 by Neighborhood
Job
Category
|
Marynook
(Median
Rent: $2,750)
|
Marquette
Park
(Median
Rent: $900)
|
Pullman
(Median
Rent: $925)
|
The
Island
(Median Rent:
$950)
|
West
DePaul
(Median Rent:
$2,750)
|
All
Occupations
|
62
|
72
|
74
|
76
|
218
|
Baristas
|
123
|
142
|
146
|
150
|
434
|
Retail
Salespeople
|
106
|
123
|
126
|
129
|
374
|
Teachers
|
49
|
57
|
58
|
60
|
172
|
Registered
Nurses
|
33
|
39
|
40
|
41
|
117
|
Financial
Analysts
|
31
|
36
|
37
|
38
|
108
|
HotPads
HotPads is the most efficient rental search platform for urban
areas across the United States,
with features designed for competitive markets such as map-based
search, real-time notifications and detailed information on
landlords and property managers that help renters spend less time
searching and more time feeling excited about their next home.
Launched in 2005, HotPads is based in San Francisco and is owned and operated by
Zillow Group, Inc. (NASDAQ:Z and ZG).
HotPads is a registered trademark of Zillow, Inc.
i Zillow Group Report on Consumer Housing Trends,
2017
ii Incomes in this analysis were determined using
city-level data from the Bureau of Labor Statistics
iii HotPads assumed a 40-hour workweek to calculate the
hourly wage for a job category. For salaried workers, this is the
equivalent hourly wage.
iv To calculate the yearly rent, HotPads took
Chicago's current monthly median
rent and multiplied it by 12.
v HotPads assumed eight-hour workdays to calculate the
days worked to pay rent.
vi Income data from the Bureau of Labor Statistics'
"Counter Attendants, Cafeteria, Food Concession, and Coffee Shop"
job category.
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SOURCE HotPads, Inc.