US housing costs — here’s how much work it takes to pay rent

For many Americans, renting a home in the United States has become a serious challenge. In recent years, rental prices have risen significantly, surpassing wage growth. By 2025, the median rental price had reached $1,300, a 6% increase from three years prior. The situation is even more complicated in metropolitan areas such as New York and Los Angeles.

According to Self Financial, the median rent in the United States rose from $824 in 2008 to over $1,300 in 2025. AOL writes that this is a 58% increase in 17 years.

The reasons for this growth are complex. The main reasons are a shortage of affordable housing, rising utility costs, and high demand for rentals among young people who are postponing buying their own homes due to high mortgage rates.

How many hours do you need to work to pay rent?

Self Financial analysts collected and analyzed statistics from all U.S. states to determine how many hours the average American needs to work per month to cover their rent. The national average is 38.3 hours. That's practically a full-time job!

"Renting a home takes up an entire week's salary for most Americans. This reduces their ability to accumulate savings or plan to buy real estate," say the analysts.

However, the situation varies significantly by region. In some states, the workload associated with renting is much higher than the national average.

Which US states work the hardest for rent?

Residents of some regions have to spend twice as much time paying for rent as others. In New York, for example, it is necessary to work 90.2 hours per month, which is more than two full working weeks.

Here are the top five states with the longest time spent on rent:

• New York — 90.2 hours;
• Vermont — 60.2 hours;
• Hawaii — 59.9 hours;
• California — 52.4 hours;
• New Jersey — 50.4 hours.

In these states, income levels often do not keep pace with rent increases, especially in cities with developed infrastructure and limited apartment availability.

What is the most profitable place to rent a house?

At the other end of the spectrum are states with relatively affordable rents. In South Dakota, it is enough to work only 27.6 hours to pay the rent. This is 63% less than in New York.

States with the lowest time commitment:

• South Dakota — 27.6 hours;
• Arkansas — 31.1 hours;
• Alabama — 31.4 hours;
• North Dakota — 32.2 hours;
• Maine — 32.3 hours.

"The low cost of living in these regions allows people not only to cover their rent, but also to save or invest," Self Financial explains.

Renting remains more profitable than buying

Despite rising rents, renting is still a more affordable alternative than buying a home. According to Self Financial, the average mortgage rate is approaching 7%, and real estate prices have increased by 55% since the beginning of 2020.

"Buying a home has become difficult even for those with stable jobs. High rates and prices are forcing people to stay in rented apartments longer," says Self Financial's analysis.

Thus, renting in many cases is not a temporary solution, but a long-term survival strategy.

Forecasts and challenges for the future

Financial analysts warn that if rent growth continues to outpace wages, it could have social consequences. Young professionals and families will be forced to leave big cities or live in worse conditions. Without government intervention, the development of affordable housing programs and market control, the situation will only get worse.

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