More Than Half of Families With Children Spend Over 30% of Income on Rent
New York Tops the List at $57,000 a Year; Los Angeles Nears $37,000
Rising rents continue to outpace household income growth across the United States, leaving millions of renters struggling with mounting housing costs. Families with children are feeling the greatest strain, with more than half now considered “rent burdened” because they spend over 30% of their income on housing.
According to a recent CBS News report citing data from real estate company Zillow, the median rent for a two-bedroom apartment in New York City has reached $4,750 per month, or $57,000 annually, making it the most expensive rental market in the nation. That amount represents more than two-thirds of the city’s median household income.
Housing costs remain steep in other major metropolitan areas as well. A typical two-bedroom apartment costs about $38,400 per year in San Francisco and $36,612 in Los Angeles, placing significant financial pressure on renters throughout California.
Nationwide, the median annual rent for a two-bedroom home now stands at $21,480, according to Zillow. Nearly half of all U.S. renters are classified as rent burdened, meaning they spend more than 30% of their income on housing. Among households with children under 18, that figure climbs to 54%, highlighting the growing challenge of balancing housing expenses with childcare, food, and other essential living costs.
“While the pace of rent increases has slowed, rents remain at a high level relative to income,” said Kenny Lee, senior economist at Zillow. “The share of rent-burdened households has remained around 50% since the pandemic.”
Low-income renters are facing the most severe hardship. A report from Harvard University’s Joint Center for Housing Studies found that more than 80% of renters earning less than $30,000 a year were rent burdened in 2024, leaving many households with little income remaining for healthcare, transportation, education, or savings.
Housing experts point to the nation’s persistent housing shortage as the primary driver of rising rents. The United States has struggled to build enough homes since the 2008 financial crisis, pushing more households into the rental market and intensifying competition for available units. Restrictive zoning laws, lengthy permitting processes, and high construction costs have further constrained new housing development.
Earlier this year, the federal government enacted bipartisan legislation aimed at increasing the nation’s housing supply. However, economists caution that the impact will take years to materialize, meaning renters are unlikely to see significant relief in the near future.
Until housing construction catches up with demand, analysts expect rental costs to remain elevated, keeping affordability a major challenge for millions of American families.
