In 2017, American renters spent $485.6 billion on rent. Zillow's data show that this is up $4.9 billion from the $480.7 billion paid in 2016.
Zillow's data also show that the median U.S. rental now requires 29 percent of median monthly income. Financial experts advise that people should not pay more than 30 percent of their salary on housing, but that’s no longer feasible for many Americans, per MarketWatch. The average rent for a one-bedroom apartment ranges from $830 per month in Houston to over $2,000 per month in metros such as New York, and San Jose, according to Apartmentlist.com.
But there have been signs of improvement. The cost gap between renting and buying is widening as rents stabilize and home prices rise, a separate study released this month by Realtor.com found. In 57 of the top 59 largest metros in the U.S., it makes more sense to buy based on simple monthly costs relative to income.
