According to a recent Redfin report, 22 percent of U.S. renters are paying all of their monthly income just to afford rent. This has led many individuals to borrow money, take on second jobs, and tap into their retirement savings to cover the high housing costs.
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More than one-fifth of renters in the U.S. are reportedly spending their entire paycheck on rent, as per a new report by Redfin.
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Additionally, 20 percent of renters have taken on second jobs to afford housing, while 19 percent are working jobs they dislike just to make ends meet.
Renters are resorting to pulling funds from retirement accounts, reducing savings contributions, and borrowing money from family members to cover their housing expenses, the report reveals.
The surge in rental costs during the pandemic has made housing unaffordable for many, with the median rent reaching $1,985 in October, down slightly from the previous year.
Despite the slight decrease in rental prices, the 28 percent increase in median rent since March 2019 has made it challenging for lower-income Americans to find affordable housing.
Redfin predicts that rental affordability may improve in the near future as more newly constructed apartments enter the market, offering renters more options and potentially reducing prices.
The report, based on a survey of 1,802 U.S. residents aged 18-65 conducted in September, highlights the growing challenges of housing affordability in the country.
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