If you feel like you’re spending way too much of your paycheck on your monthly rent, you’re not wrong.
For the second year in a row, South Florida has been named the worst metro area in the U.S. for renters. A new study by the website Apartment List shows that 62.7 percent of renter households in Miami-Dade, Broward and Palm Beach in 2017 were cost-burdened — which means they paid more than 30 percent of their income on rent.
That’s only a tiny improvement from 2016, when 62.8 percent of South Florida households were cost-burdened.
According to the study, which uses data from the U.S. Census, 33.8 percent of renter households in the Miami metro area are severely cost-burdened — or spending more than half their income on rent.
Chris Salviati, a housing economist for Apartment List, said that the overall percentage of cost-burdened renter households in the Miami metro area is down from its peak in 2011, when it reached 65 percent.
“You’ve had an influx of higher-income renters coming into the area, so the overall number of renters has gone up and the percentage of cost-burdened households has gone down,” Salviati said. “But the number of cost-burdened households is still increasing.”
According to the study, San Francisco is the priciest city in the U.S. for renters, with a median rent of $3,110 for a two-bedroom apartment. New York was second, with a median two-bedroom rent of $2,510.
South Florida was a relative bargain in comparison, with a median two-bedroom rent of $1,360, according to Apartment List.
“But even though Miami is not the most expensive city, it’s not cheap either,” Salviati said. “And although Miami has a strong economy, a lot of it is driven by tourism, and that industry doesn’t have the highest incomes.”
The study shows that on a national level, renter income is closing the gap with rent growth. The median national rent has increased 8.5 percent since 2007, while the median renter income grew 6.5 percent over the same period.
But in South Florida, rents have grown eight percent since 2007, while the median income has only gone up 3.6 percent.