Study reveals NYC has become more affordable for both buyers and renters in the past 5 years
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Research by Online Mortgage Advisor looked into where in the world the affordability gap of property has grown the largest in recent years. The study has revealed New York City as becoming more affordable for the average person to both buy and rent.
This was done by comparing how many square feet of property a person earning the average annual net salary in New York could afford to buy in 2020 compared to 2016.
Key findings:
- New Yorkers could afford 6.4 sq.ft more in 2020 than in 2016.
- NYC one of only 8 cities in America witnessing a growth in affordability for buyers since 2016.
- Renting for the average person in New York has become 15% more affordable between 2016 and 2020.
New York City has become more affordable for the average person to purchase property
- In 2016, the average New Yorker could afford 40.9 sq.ft compared to 47.3 sq.ft in 2020, meaning New Yorkers could afford 6.4 sq.ft more in 2020 than they could in 2016 on an annual average local salary.
- This makes New York City one of only 8 cities in America witnessing a growth in affordability for buyers since 2016.
- This is based on the average post-tax salary of a New York City citizen 2016 and 2020, gathered from Numbeo.
NYC has become more affordable for the average person to rent property
- Renting for the average person in NYC has become 15% more affordable between 2016 and 2020.
- In 2016, the average New Yorker had to set aside 71% of their monthly income to afford rent, whereas that has dropped to 56% in 2020.
- Again, this places NYC in the top 10 cities that have become more affordable for renters in the US.
