While overall trends are consistent across the U.S., location influences rent affordability. In a new analysis by WalletHub, the median annual gross rent was compared with the median household income in over 180 cities.
“In the most affordable cities for renters, the median cost of rent is as low as 15% of the median income, compared to nearly 34% in the most expensive cities,” WalletHub analyst Chip Lupo says. “This gives people in the least expensive cities a clear financial advantage; the money they save on rent could go toward their emergency fund or savings for future home ownership.”
Where did your Texas city land regarding rent affordability? Here’s what the study found.
WalletHub calculated rent’s share of income in each city by dividing the median annual gross rent by the median annual household income. A total of 16 Texas cities were analyzed, with the rent averaging 22.785% of income.
Laredo had the state’s smallest rent burden (19.34%), while Garland had the largest (25.8%). Dallas and Houston’s rent burdens were bigger than Austin and El Paso’s, while Fort Worth’s landed closest to the average.
*calculated with the median annual gross rent as a percentage of median annual household income
WalletHub offers these suggestions for reducing your rent, regardless of where you live: