Changes in the economy, household formation, inflation, and wage stagnation leave many in Connecticut struggling to afford housing. Many jobs pay less than what is needed to afford a typical 2-BR apartment (known as the housing wage) at $34.54/hour. One third of all Connecticut households rent, and the average hourly wage of a Connecticut renter, $20.30, falls below the wage even needed to afford a typical 1-BR apartment at $27.98/hour. Over the past year, the income needed to afford 1- and 2-BR apartments has increased by 8%, while the average hourly wage of a Connecticut renter has increased by only $0.01. To spend no more of 30% of their income on housing, a full-time worker at Connecticut’s minimum wage would only be able to afford an apartment priced at $815/month.
THE HIDDEN COST OF RENTING: HOW “JUNK FEES” MAKE HOUSING LESS AFFORDABLE
By: Samaila Adelaiye, PhD Research and Policy Fellow