What causes high rent?
Hint: rising rents are being caused by a number of factors, including lack of affordable housing and an increased desire among millennials and baby boomers for flexibility.
Both of these factors, and more, are contributing to a growing demand for rental properties today.
Growing demand = higher rents.
Why rent is so expensive?
One of the reasons your rent is going up is from changes in the rental market. According to MarketWatch.com, rental rates have hit an all-time high this year, going up 2.2% for a one-bedroom to 2.8% for a two- to three-bedroom.
Why is NYC rent so high?
One reason why NYC is so expensive is because the rent here is so high. For an example, the average rent of an apartment in Manhattan is $3,667. The rent is so expensive because there are so many people, and there is limited space. The landlords make the prices go higher, so they can earn more money.
What is high rent?
Paying overly high rent means you have less money available for other expenses or savings. It also means you can probably get more for your money at the same rent level.