This New England City Has Astronomical Rent Costs
The average amount that rent costs in New England may surprise you. But, what may surprise you even more is that one New England city has astronomical rent costs compared to other cities in America. The cost of both renting and owning a home has gone up substantially in the past decade, not just in New England but across America. Here’s what the experts say.
The New England City with Astronomical Rent Costs
A recent study from the experts at the Joint Center for Housing Studies of Harvard University looked into how much rent costs across America. They discovered that in 2022, half of all people in the U.S. who were renting were cost burdened, meaning that more than 30% of their income went to housing. What’s even crazier is that more than 12 million Americans were putting at least half of their paycheck, if not more, towards rent. All of this means that there are more homeless people in America. In fact, in 2023, homelessness rose to a new high in America. To be specific, an annual head count, conducted in January of 2023, discovered that the homeless population had increased by more than 70,000 people, or a whopping 12 percent.
According to the study from Harvard University, rent costs vary a lot depending on your state. The state with the highest median rent is the paradise of Hawaii, where renters pay around $1,868 per month. In turn, the state with the lowest median rent cost is West Virginia, where renters pay around $831 per month. That’s obviously a big difference. A different study, this one according to the Zumper National Rent Index, looked at prices for one-bedroom units in America. It found that the most expensive city to rent in is New York City at $4,200 per month in 2024. That’s very high, but that’s expected in New York City. No. 2 on the tally was Jersey City, New Jersey, at $3,330 per month. San Francisco was next at $2,950.
So, which New England city has astronomical rent costs? You shouldn’t be too surprised to learn it’s Boston. According to the Zumper National Rent Index, the cost to live there is $2,830 per month. Those astronomical rent costs also make Boston the No. 4 most expensive city in which to rent in America. I was actually recently comparing rent and purchase costs for apartments and homes, and that’s much higher than the numbers I saw in other areas of the country. Also, according to a recent Forbes.com article, the average cost of rent in Massachusetts is around $1,811 per month. So, if you’re looking for a reasonable place to rent, Boston might not be your best bet.
Simple Habits of Millionaires, According to Experts
They Buy Their Cars (Instead of Leasing) and Keep Them As Long As Possible
Cars lose their value quickly. That’s why buying a used car is usually much less expensive than a new car. The second that car is off the lot, it’s considered used and drops in value thousands, even with just another mile on the car. That said, according to CNBC.com, wealthy people buy, don’t lease, their cars and keep them long-term. That way, they can save money between car purchases.
They Buy Their Cars and Keep Them
They Delay the Pleasure of Having the Finer Things in Life
According to RamseySolutions.com, “Millionaires spend most of their lives sacrificing temporary pleasures for long-term success. They have no problem buying an older used car, living in a modest neighborhood, and wearing inexpensive clothes. They don’t care about keeping up with the Joneses.” So, instead of picking up all the hot, expensive new stuff, wait it out.
They Delay Pleasure
They Educate Themselves on Money
If you’re a newbie to financial planning, listen to some podcasts on the subject or find a helpful book. Finance.yahoo.com says, “knowing how to become a millionaire isn’t innate, even for most wealthy people.” Research from certified financial planner and CPA Tom Corley shows that “63 percent of wealthy people listen to audio books during their commute to work versus 5 percent of poor people,” says Finance.yahoo.com.
They Educate Themselves on Money
They Network and Meet New People
In the same Finance.yahoo.com story, Corley says that networking is huge when it comes to becoming a millionaire. “On his Rich Habits blog, Corley revealed 79 percent of wealthy individuals network at least five hours per month, compared with only 16 percent of poor people,” they explain. So, get out there, and meet new people who could make up your network.
They Network
They Live Below, Not Within or Above, Their Means
Millionaires are frugal. They don’t splurge like you might expect. According to RamseySolutions.com’s The National Study of Millionaires, nearly half of millionaires in their poll said they save at least 16% of their monthly income. They often use it for an emergency fund or liquid cash.
They Live Below Their Means
They Make Use of Their Money By Investing
CNBC.com’s Select asked Faron Daugs, certified financial planner, founder and CEO at Harrison Wallace Financial Group, “about the financial habits his wealthiest clients all share that could apply to the average person.” One big thing he mentioned was building up emergency funds and then investing. “Daugs says his clients have organized investment plans, whether its in stocks, bonds or exchange-traded funds (ETFs),” CNBC explains. He also recommends having a “monthly or bi-monthly automatic transfer of cash from your checking account into an investment account.”
They Invest
They Invest in Particular Things
According to Fool.com, the wealthy “invest in stocks, real estate, and their own businesses.” They add that, “Millionaires put their money into appreciating assets (assets that can grow in value).” Also, “people with net worths of $1 million or higher tend to have more of their money” in stocks and mutual funds; real estate; and business interests.
They Invest in Specific Things
They Look at the Bright Side
Whatever your financial situation, look at the bright side. Look for opportunities for working with what you have and growing your nest egg. Reach out to experts in the financial field if you’re really stumped and see how they can make your financial dreams come true.
They Stay Positive
Don't Give Up
Wherever you are on your financial journey, don’t give up. It can be temping to just throw everything to the wind, but if you take a more level-headed approach, you’ll have a better chance of coming out successful. Good luck on your financial journey.
They Keep Trying
