Is New York, NY, Affordable for Renters? [2025]

New York is not considered affordable for renters in 2025. New York is ranked as the seventh-most expensive U.S. city for renters, with an average rent of $5,089 for a one-bedroom apartment. But don’t get discouraged—living in the Big Apple is doable if you’re smart with your budget and flexible with your wish list.

What Are the Current Trends in New York’s Rental Market?

New York’s rental scene is on the up. As of July 2025, the median rent in the city is at $2,480 per month, with prices up 3% year over year.

Just in June 2025, rents increased by 1.1%, outpacing the national average (-0.7%). Looking ahead, industry forecasts expect a steady increase in overall rents, driven by the city’s rising cost of living and continued population growth in the area.

If you’re looking for a budget-friendly place in New York City, you’ll likely find it outside the city center, farther from Manhattan. A $2,000 budget could land you a nice-sized place in Bayside, Queens, where the average rent for a one-bedroom is $1,700. Compare that to Midtown South Central, the heart of Manhattan, where the average rent for a one-bedroom apartment is $4,375.

Median Rent Prices in New York, NY

Rent prices in New York vary significantly depending on neighborhood, unit size, and building age. To give you a clear snapshot of current costs, here’s a breakdown of median rent prices for one‑ and two‑bedroom units across the city.

What Is the Average Rent of a One-Bedroom Apartment in New York?

As of July 2025, the average rent for a one-bedroom apartment in New York is $5,089. Your final price tag depends on factors like the building’s age, location, and whether it comes with perks like a pool or in-unit laundry.

What Is the Average Rent of a Two-Bedroom Apartment in New York?

As of July 2025, the average rent for a two-bedroom apartment in New York is $7,603. Two-bedroom apartments are popular among roommates, small families, and remote workers who need a little extra space.

How Much Rent Can I Afford in New York?

Median rents in New York are 77% higher than the national median of $1,401, placing NYC in the same median price range as other major cities like Santa Clarita, California ($2,494) and Boston, Massachusetts ($2,466).

Here’s how the average New York rent stacks up in 2025:

*Cost of Living Index (U.S. average = 100) data sourced from BestPlaces.

As you can see, the cost of living in New York is well above popular coastal giants and Midwestern and Southern cities. The benefit? You get unparalleled access to diverse cultures, endless career opportunities, and world-class entertainment and amenities in just about every neighborhood of the city.

Before you dive into New York’s listings, it helps to know a few standard budgeting rules. None of them is perfect, but they offer a solid starting point to ensure you avoid overspending (or underestimating what you can get).

The 30% Rule

This classic rule says you shouldn't spend more than 30% of your gross monthly income on rent. For example, if you make $8,000 per month before taxes, aim for a monthly rent of around $2,400. Simple enough. But in a city like New York, where the cost of living is sky-high, this 30% rule might feel more like a suggestion. Use it as a benchmark, not a dealbreaker.

The 50/30/20 Rule

Another approach to budgeting divides your after-tax income into 50% for needs, 30% for wants, and 20% for savings or debt repayment. Rent is just one piece of that 50% allocated to needs, so you'll want to budget accordingly. The 50/30/20 rule is a more flexible method and helps balance housing costs with the rest of your financial life.

The 3x Rent Rule

Landlords love this one: your gross monthly income should be at least three times your rent. So for a $1,500 apartment, you’d need to earn at least $4,500 monthly. This rule helps landlords feel confident that you can afford the rent. If you don’t quite meet the requirement, a strong rental history, solid credit, or a larger deposit might still land you the lease.

How Does the Overall Cost of Living in New York Compare to the National Average?

Overall, New York's cost of living for a single adult is 60.8% higher than the U.S. average and 42% higher than New York’s statewide average. Housing is the biggest factor, as the median rent is 77% higher than the national norm. Groceries and healthcare are slightly more expensive, while utilities and miscellaneous costs hover around $190 per month for a 915-square-foot space.

Transportation costs can vary depending on how you plan to get around. The price of a 30-day MetroCard costs $132, while the average cab fare for a typical five-mile ride in NYC hovers around $24 (excluding tolls and tip). Of course, depending on distance, time of day, and traffic, cab fare can be significantly more expensive.

Are Utilities and Other Expenses Affordable in New York?

The average utility costs in New York City amount to $190.04 monthly, which is lower than the U.S. average of $208.78. This rate accounts for basic utilities, including water, electricity, and gas, for a 915-square-foot apartment.

Electricity for air conditioning is rarely included in rent, so during the summer months, plan for spikes in your utility bills. Chances are high your heat is included in your rent when you live in New York City.

Internet costs run around $63.73 per month. Renters insurance is usually between $16 and $19 per month, with some policies found as low as $10 per month. If you drive, be prepared for parking, tolls, and car maintenance.

How Does the Cost of Renting Vary by Neighborhood in New York?

Rent in New York is generally considered expensive, and prices can vary depending on where you live. We’ve pulled the numbers to help you navigate average rents across popular New York neighborhoods so you can find the one that fits the bill.

Rent in New York’s Cheapest Neighborhoods

New York’s cheapest neighborhoods sit further away from Manhattan, but they deliver solid value, local charm, and easy commuting to the city center.

And if you know where to look, you can even find New York apartments for rent under $2,000 per month, without sacrificing quality of life.

Bayside

Bayside, Queens, offers a rare blend of suburban calm and city convenience, making it one of the borough’s most sought-after neighborhoods. Known for its tree-lined streets, strong public schools, and tight-knit community, it’s especially appealing to families and anyone craving a quieter residential vibe.

Green spaces like Fort Totten Park and Crocheron Park add to the neighborhood’s charm with waterfront views, historic landmarks, and room to unwind. Renters are drawn to Bayside for its spacious housing, lower rent, and convenient access to the Long Island Rail Road (LIRR) for commuting to Manhattan.

Parkchester

Parkchester is a planned community in the East Bronx known for its red-brick buildings, green spaces, and a blend of urban density with a quieter, suburban feel. It’s a diverse, family-friendly neighborhood with affordable rent and spacious apartments—plus easy access to the 6 train for a smooth commute into Manhattan. With nearby attractions like the Bronx Zoo, the New York Botanical Garden, and Fordham University, Parkchester offers a well-rounded lifestyle with strong community vibes.

Washington Heights

Washington Heights, located north of Harlem, offers a vibrant mix of cultural heritage, affordability, and green space. Known for its strong Latino roots, local eateries, block parties, and iconic landmarks like the Morris-Jumel Mansion and Audubon Terrace, the neighborhood also features diverse housing, from pre-war walk-ups to renovated units with river views.

Fort Washington Park and Highbridge Park offer ample outdoor space, while the A and C subway lines make commuting to Midtown Manhattan doable, even if it takes a bit longer. Parking is limited, but street spots are more manageable than in other parts of Manhattan.

Rent in New York’s Most Expensive Neighborhoods

New York’s most expensive neighborhoods come with plenty of perks and premiums. These high-demand neighborhoods offer walkable streets, world-class dining, and access to everything from top employers to entertainment and nightlife.

If you’re wondering what top-tier rent gets you in this city, here’s a peek at the New York neighborhoods with the highest price tags.

Upper East Side

The Upper East Side is considered one of the best places to live in New York City. For those with bigger budgets, renovated brownstones and townhouses line the quieter, tree-filled blocks. It’s one of the city’s safest neighborhoods and a go-to for people who want calm, culture, and Central Park right next door.

Upper West Side

The Upper West Side blends classic New York charm with leafy streets, cultural landmarks, and serious rental appeal. Rents are typically high, but prices tend to drop the farther north you go—or if you’re open to walk-ups or higher-floor units in older buildings. The neighborhood attracts a mix of retirees, professionals, and families looking for space, quiet, and proximity to both Central Park and Riverside Park.

Chelsea

Chelsea is an upscale, artsy neighborhood on the Lower West Side of Manhattan. Locals love the neighborhood for its direct access to the High Line, Chelsea Market, and Chelsea Piers, as well as galleries, bars, and LGBTQ-friendly nightlife along Eighth Avenue. Despite its popularity with tourists, the neighborhood retains a lived-in and community-driven feel. The western edge of the neighborhood near the Hudson is quieter and more scenic, with fewer crowds but higher price tags.

What Is a Comfortable Salary for a Renter in New York?

To comfortably afford New York City’s median rent of $2,480, you’d need to earn about $99,200.04 per year (or $8,266.67 per month). This aligns with livable wage estimates ranging from $60,040 to $176,038 (before taxes) depending on your expenses. A good rule of thumb is to spend no more than 30% of your gross income on rent, so earning at least $99,200 helps keep your housing costs manageable.

Still, many renters make it work on less by opting for smaller units, more affordable neighborhoods, or sharing space with roommates. Incomes between $40,000 and $55,000 may be workable with careful planning and trade-offs. While your ideal salary depends on your lifestyle and priorities, these numbers give a solid baseline for budgeting in New York.

Are There Hidden Costs to Renting in New York?

Beyond rent, you’ll need to budget for initial costs like application fees, security deposits, and sometimes even the first and last months’ rent. Add in monthly expenses—utilities, internet, and renters insurance (often required)—and things add up fast. If you drive, expect parking fees. Moving from out of town? Factor in movers, pet fees, and any last-minute changes that might hit your wallet.

• Renters insurance: Not optional (and not that expensive). In New York, average renters insurance runs between $16 and $19 per month, though savvy shoppers can snag policies for as low as $10 per month.
• Application and admin fees: Budget $30 to $150 for application fees, plus $100 to $200 in admin fees to process paperwork.
• Parking and amenities: If you drive, secure parking could tack on $400 to $1,000 monthly, depending on location. Buildings might also charge extra for gyms, pools, or package lockers, so ask upfront.
• Pets: Got a furry roommate? Be ready for both refundable pet deposits ($200 to $500) and nonrefundable fees ($250 to $1,000). Some landlords also charge monthly pet rent ($25 to $100). Yep, your dog has rent too.
• Moving costs: A local move in New York ranges from $500 for a studio to $2,000+ for a three-bedroom—and that’s just for movers. DIY with a truck rental? Expect $49 to $100+ per day, plus mileage and gas. Don’t forget the boxes and bubble wrap.
• Security deposits: In New York City, security deposits are capped at one month’s rent. This amount is typically due at the same time as your first month's rent, so make sure to factor it into your moving budget.

What Are the Best Ways to Save on Rent in New York?

In an expensive, competitive market like New York, saving on rent is essential. Here are some smart strategies to help you stretch your budget without sacrificing comfort or convenience.

1. Look Into Rental Assistance

Check out programs from the New York State Division of Homes and Community Renewal, the NYC Department of Housing Preservation and Development, and local nonprofits. Many offer help with rent, deposits, or emergency support.

2. Negotiate Your Lease

Got great credit or a steady income? Use it to negotiate your rent. Landlords may knock off fees, reduce your deposit, or even lower rent for longer leases.

3. Find a Roommate

Splitting rent and utilities with a roommate is one of the easiest ways to cut your housing costs. Just make sure you pick someone reliable and set ground rules right away.

4. Focus on Location Over Extras

Skip the rooftop pool and focus on walkability, transit access, and commute times. It’s a better investment in the long run.

5. Save for Upfront Costs

Security deposit, application fees, moving expenses—it adds up. Set aside cash early so you’re ready to act fast when the right place pops up.

6. Know Your Rights

Understanding New York’s tenant laws can help you protect your budget and avoid unfair charges. Check out resources from the New York state attorney general’s office to stay informed.

Find an Apartment in New York, NY

Thinking of calling New York City home? Neighborhoods like Greenwich Village, Harlem, and the Lower East Side offer a mix of charm, convenience, and strong rental value—and with Apartment List’s personalized quiz, you can find apartments in New York that match your lifestyle, budget, and timeline. With us, you’ll spend five minutes and save 50 hours searching.

FAQs: Is New York Affordable for Renters?

Is renting cheaper than buying a home in New York?

Yes, renting in New York is much cheaper than buying a home. A typical home costs $677,200, which is 100.3% more expensive than the national average of $338,100 and 63.7% more expensive than the average New York home, at $413,600.

Compare that to the median rent in New York City, which is $2,480 overall; renting offers far fewer barriers to entry for living in the Big Apple.

Is New York’s rental market competitive?

Very. Housing demand in New York City continues to rise as more people move in for work and lifestyle perks. New rental supply is growing, thanks to a wave of construction—especially in Brooklyn and Queens—and an increase in office-to-residential conversions. In Manhattan’s most popular neighborhoods, vacancy rates remain low and apartments tend to rent quickly.

To win in this fast-paced market, be ready to act fast. Have your documents in order, and use tools like Apartment List to spot available units early.

What’s a livable wage in New York?

MIT’s Living Wage Calculator says a single adult with no kids needs to make about $28.87/hour—or $60,040 annually—to live comfortably in Greater New York. For families, that number rises based on variables like household size and childcare needs.

What if I can’t afford rent in New York, NY?

If rent feels out of reach, look into local assistance programs like those from the New York State Division of Homes and Community Renewal and NYC Department of Housing Preservation and Development. You can also explore shared housing options, more affordable neighborhoods, or living with a roommate to cut costs.

Are utilities typically included in rent in New York?

It depends on the building and landlord, but in New York City, some utilities are commonly included—especially in older or larger apartment buildings. The landlord often covers the costs of water, heat, and trash removal.

However, electricity, cooking gas (if applicable), internet, and cable TV are usually not included and will be separate expenses. Always check your lease agreement carefully—it will clearly outline which utilities are included and which ones you’ll need to pay for. Be sure to budget for the additional costs, as they can significantly increase your monthly living expenses in NYC.