Nationwide, the salary required to afford rent is $20K higher than it was five years ago

Renters need to make six figures to comfortably afford rent in eight major markets, up from four markets five years ago. The most expensive rental markets, with the highest required income, are San Jose ($137K income), New York ($136K) and Boston ($127K). The most affordable rental markets, with the lowest required income, are Buffalo ($55K income), Oklahoma City ($56K) and Louisville ($57K).

SEATTLE, May 12, 2025 /PRNewswire/ -- The rising costs of living have impacted affordability for renters across the country. Nationwide, renters today need to earn more than $80,000 to comfortably afford the typical rental, up from $60,000 just five years ago. In eight major metro areas, renters now need to make six figures to comfortably afford rent, a new Zillow® analysis reveals.

Since April 2020, rent for a typical U.S. apartment has increased by 28.7%, to $1,858, while rent for a single-family home increased by 42.9%, to $2,256. Over that time, the median household income1 has only risen by 22.5% to about $82,000 — showing that wages have not kept up with rents.The number of markets where renters need to earn $100K to afford rent has doubled since 2020

"Housing costs have surged since pre-pandemic, with rents growing quite a bit faster than wages," said Orphe Divounguy, senior economist at Zillow. "This often leaves little room for other expenses, making it particularly difficult for those hoping to save for a down payment on a future home. High upfront costs are often overlooked, which can keep renters in their current homes."

A renter making the median income and leasing a typical U.S. rental is just on the right side of the 30% affordability line — the rent burden threshold — spending 29.6% of their income on rent. To stay below that 30% line, renters in San Jose, New York, Boston, San Diego, San Francisco, Los Angeles, Miami and Riverside, California, generally need to earn six figures. The typical rent in these markets is many hundreds of dollars above the national asking rent of $2,024.

In six of these eight markets, the median household would spend over 30% of its income on a typical rental. However, in San Jose and San Francisco, wages have been better at keeping pace with rent. A median San Jose household would spend 25% of its income on a typical rental, while in San Francisco, it would spend 28%.

Despite a significant jump in rents over the past five years, plenty of markets are still affordable for median earners. The most affordable rental markets are Buffalo ($55K income required), Oklahoma City ($56K) and Louisville ($57K). In these markets, the median renter would spend 23% of their income or less on rent, allowing more latitude in gaining financial freedom.

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Beyond high monthly rent prices, large upfront costs can pose a barrier for renters looking to move. This is especially true in cities like New York and Boston, where broker fees — on top of security deposit and advance rent payments of one to two months — exacerbate rental affordability challenges. However, with the recent passage of the FARE Act by the New York City Council and ongoing legislative conversations around broker fees in the Massachusetts and New York state legislatures, renters may see a reprieve in the near future.

To help renters make informed choices, Zillow offers a rent affordability calculator that sheds light on housing budgets, ensuring that they know exactly what they can afford. Renters searching on Zillow can explore a wide range of rental options tailored to their needs. Whether they're looking for a one-bedroom apartment, a townhome, a single-family home or a room for rent, Zillow's listings make it easy to find a place that suits everyone's lifestyle.

Metropolitan Area* Income Needed 
to Afford Rent, 
April 2025 Change in Needed 
Income Since April 
2020 Zillow Observed 
Rent Index (ZORI), 
April 20252 Renter Affordability, April 
2025 United States $80,949 34.5 % $2,024 29.6 % New York City** $135,746 28.9 % $3,394 40.0 % Los Angeles, CA $118,958 28.3 % $2,974 36.4 % Chicago, IL $87,428 31.1 % $2,186 28.3 % Dallas, TX $71,413 28.6 % $1,785 23.2 % Houston, TX $67,731 23.4 % $1,693 24.2 % Washington, DC $97,179 24.4 % $2,429 22.6 % Philadelphia, PA $77,058 29.0 % $1,926 25.2 % Miami, FL $109,962 54.4 % $2,749 40.4 % Atlanta, GA $76,745 36.3 % $1,919 25.0 % Boston, MA $127,007 26.8 % $3,175 32.5 % Phoenix, AZ $74,101 35.9 % $1,853 24.5 % San Francisco, CA $124,267 9.3 % $3,107 27.6 % Riverside, CA $102,722 45.6 % $2,568 32.8 % Detroit, MI $59,873 38.5 % $1,497 23.5 % Seattle, WA $90,840 23.2 % $2,271 23.1 % Minneapolis, MN $67,714 17.6 % $1,693 20.2 % San Diego, CA $122,810 40.8 % $3,070 33.2 % Tampa, FL $86,301 52.0 % $2,158 33.5 % Denver, CO $78,862 22.8 % $1,972 21.6 % Baltimore, MD $75,158 29.6 % $1,879 22.6 % St. Louis, MO $57,104 37.4 % $1,428 20.8 % Orlando, FL $81,789 37.5 % $2,045 29.6 % Charlotte, NC $72,091 35.8 % $1,802 25.0 % San Antonio, TX $58,590 19.4 % $1,465 22.7 % Portland, OR $74,076 24.2 % $1,852 22.0 % Sacramento, CA $94,002 30.7 % $2,350 27.8 % Pittsburgh, PA $59,274 28.2 % $1,482 23.2 % Cincinnati, OH $63,444 39.5 % $1,586 23.0 % Austin, TX $68,840 17.6 % $1,721 19.8 % Las Vegas, NV $72,060 35.6 % $1,801 26.8 % Kansas City, MO $61,457 38.7 % $1,536 21.9 % Columbus, OH $62,493 36.9 % $1,562 22.9 % Indianapolis, IN $64,391 41.6 % $1,610 23.3 % Cleveland, OH $58,497 40.9 % $1,462 24.4 % San Jose, CA $136,532 13.0 % $3,413 25.2 % Nashville, TN $74,739 28.8 % $1,868 24.7 % Virginia Beach, VA $71,908 43.0 % $1,798 25.5 % Providence, RI $87,829 51.2 % $2,196 29.7 % Jacksonville, FL $69,670 36.7 % $1,742 25.9 % Milwaukee, WI $59,139 32.6 % $1,478 21.6 % Oklahoma City, OK $55,634 33.4 % $1,391 22.5 % Raleigh, NC $70,451 31.0 % $1,761 20.6 % Memphis, TN $58,761 37.7 % $1,469 26.0 % Richmond, VA $68,307 40.2 % $1,708 22.7 % Louisville, KY $56,549 35.7 % $1,414 23.3 % New Orleans, LA $66,141 28.7 % $1,654 30.5 % Salt Lake City, UT $69,881 34.2 % $1,747 20.8 % Hartford, CT $77,119 45.2 % $1,928 23.6 % Buffalo, NY $55,319 38.9 % $1,383 22.3 % Birmingham, AL $57,428 32.7 % $1,436 23.4 %

*Table ordered by market size **Includes only New York City's five boroughs; based on StreetEasy's Rent Index

About Zillow Group Zillow Group, Inc. (Nasdaq: Z and ZG) is reimagining real estate to make home a reality for more and more people. As the most visited real estate app and website in the United States, Zillow and its affiliates help people find and get the home they want by connecting them with digital solutions, dedicated real estate professionals, and easier buying, selling, financing, and renting experiences.

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All marks herein are owned by MFTB Holdco, Inc., a Zillow affiliate. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org). © 2025 MFTB Holdco, Inc., a Zillow affiliate.

1 Median household income is taken from the American Community Survey (ACS) through 2023. Present-day estimates combine changes in the Employment Cost Index provided by the Bureau of Labor Statistics to forecast current median household income. 2 Smoothed and seasonally adjusted ZHVI.Zillow logo (PRNewsfoto/Zillow Group)Cision

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SOURCE Zillow, Inc.

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