Co-living could save you $900 a month in these pricey US cities: Survey

Real Estate

Nothing speeds up romance quite like a desperate housing market and the prospect of saving on rent. 

As Valentine’s Day approaches, a new report from Realtor.com presents tempting logic for moving in with a significant other — and, should love really be in the air this season, it’s a move that can solidify a future together. 

“Shedding one rent payment can help expedite saving for a future home purchase, especially in large US cities seeing near-record-high rents,” begins the survey. It found that renters in the nation’s 10 most expensive cities stand to save more than $900 a month, or $1,600 per person, by shacking up together. 

Indeed, tenants in the country’s priciest metros — including Boston, San Francisco, Los Angeles, New York, Miami, Washington and Seattle — pay median rents starting just under $2,000 a month for studio to two-bedroom apartments. 

Considering that Realtor.com found 22% of US renters hope to buy property in the next year, it may serve many lovebirds to share a place and save big — as, currently in today’s high-priced economy, many aren’t saving at all. 


realtor.com valentine's day survey
Especially in the nation’s priciest cities, splitting the rent can make a huge impact on savings. Getty Images

realtor.com valentine's day survey
Despite hoping to buy in the near future, Realtor.com found that many renters aren’t saving at all. Getty Images/iStockphoto

According to the survey, despite dreaming of homeownership, 13.9% of those hoping to buy in the next 12 months “have not been saving at all.”

Notably, this is a minority: Nearly half (45%) of those surveyed said they’d been saving for at least a year, but the amount they’re saving isn’t much in this market. 

“Among renters saving to buy a home, 44% are saving $500 or less each month,” the report found. “At this rate, assuming starting from no savings, saving for a 10% down payment on a median-priced [US] home, or $41,000, would take almost seven years.” 

Going from paying rent alone to splitting rent between two people, however, could “cut the time to save for a down payment substantially,” a positive prospect in an era of unaffordable real estate.

Products You May Like

Articles You May Like

Cara Delevingne sells torched $7M Los Angeles mansion at a serious loss—6 months after it was destroyed by fire
Weekly mortgage demand inched up, despite higher interest rates. Here’s why
Home sales surged in October, just before mortgage rates jumped
Developer gives first look at planned skyscraper near Grand Central Terminal — but lacks key piece to make it a reality
Young adults are holding off on moving out of their parents’ house — here’s what’s behind the trend

Leave a Reply

Your email address will not be published. Required fields are marked *