Rental Affordability Index (2017)

UKUSGlobal

This study illustrates the price of renting per square foot in 33 London boroughs, 15 UK cities and 72 cities worldwide. Based on this, the research could further convey the minimum gross salary required to support an individual and a family of four in rented property, based on the minimum space recommended for one person, and for a family.

The comprehensive study was undertaken in order to understand the costs associated with renting as an individual and as a family, and to determine whether cities are becoming increasingly unaffordable. The inclusion of specific results for each of the 33 London boroughs allows easy comparison between regional and global cities to the UK capital, with its much-publicised unaffordability.

The price per square foot of property was calculated based upon current market listings for all locations researched, whilst the minimum space recommended for one person and four people is laid out in guidelines from the Greater London Authority.1The gross salary guideline was included to help illustrate relative affordability.2

#CityRental Cost Per Sq. Ft.Monthly Rental for a Single PersonAnnual Income Needed for Single PersonMonthly Rental for a FamilyAnnual Income Needed for Family ▲
1San Francisco, CAUSD 4.95USD 2,077.96USD 85,985.38USD 3,942.82USD 163,151.17
2New York City, NYUSD 4.75USD 1,994USD 82,511.17USD 3,783.51USD 156,559.03
3Boston, MAUSD 4.1USD 1,721.14USD 71,220USD 3,265.77USD 135,135.31
4Washington, D.C.USD 3.33USD 1,397.9USD 57,670.76USD 2,652.44USD 109,756.14
5Seattle, WAUSD 3.07USD 1,288.76USD 53,328USD 2,445.34USD 101,186.48
6Los Angeles, CAUSD 2.86USD 1,200.6USD 49,680.41USD 2,278.07USD 94,264.97
7Miami, FLUSD 2.84USD 1,192.2USD 49,332.83USD 2,262.14USD 93,605.79
8Chicago, ILUSD 2.49USD 1,045.28USD 43,252.97USD 1,983.36USD 82,070.07
9Houston, TXUSD 1.49USD 625.49USD 25,882.34USD 1,186.83USD 49,110.21
10Detroit, MI USD 1.09USD 457.57USD 18,933.96USD 868.22USD 35,926.34

1 Housing standards published by the Greater London Authority states that 420 square feet is the minimum living space recommended for one person and 797 square feet is the minimum living space recommended for four people, sourced from: https://www.london.gov.uk/sites/default/files/housing_standards_malp_for_publication_7_april_2016.pdf

2 A report published by Loughborough University Institutional Repository purports that no more than 29% of one’s gross salary should be spent on rent per month, sourced from: https://dspace.lboro.ac.uk/dspace-jspui/bitstream/2134/20683/1/households_below_a_minimum_income_standard_2008_9_to_2013_14.pdf

3The figure for London in the global cities list is based on an average of the 33 boroughs taken from the London ranking.