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Old 05-30-2013, 04:39 AM
 
Location: Everywhere and Nowhere
14,129 posts, read 31,238,974 times
Reputation: 6920

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Quote:
Originally Posted by wrcousert View Post
Most landlords require an income of at least three times rent. At $1500 per month, you would need to earn $4500 per month or $54,000 per year to meet the minimum requirements. That works out to a little over $25 per hour or three times minimum wage.

Many apartments cost a lot more than $1500 per month.

I would consider $50,000 per year to be middle class, yet that isn't enough to qualify for even a one bedroom apartment.
Where I live, people who make that generally get one or more roommates and share. Either that or they rent a studio. There's an economy of scale in housing that favors multiple incomes. Find 2 others making $50K and you can really live large. Having a bunch of people living alone in 1 bedroom apts doesn't make a whole lot of sense where space is scarce. Double up.

Last edited by CAVA1990; 05-30-2013 at 04:55 AM..
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Old 05-30-2013, 06:43 AM
 
Location: Sherman Oaks, CA
6,588 posts, read 17,544,859 times
Reputation: 9462
In my apartment complex, a one-bedroom rent is now the same as what I pay for my two-bedroom (I've been lucky, as I'm stlll paying the same rent I paid three years ago when I moved in). Of course, this means that the recently vacated two-bedroom apartment across the way will probably be at least $300 more than what I'm paying. I'm in the San Fernando Valley, so I assume that apartments in Orange County are a little more, depending on the area.
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Old 05-30-2013, 09:02 AM
 
Location: Newport Coast, California
471 posts, read 600,536 times
Reputation: 1141
All that price inflation, no meaningful wage inflation and only more debt, sad. More fallout from zero interest rates from the Fed.

greater wealth disparity every day. Tragedy!
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Old 05-30-2013, 07:36 PM
 
823 posts, read 1,783,703 times
Reputation: 453
My husband's coworker, who lives in Marina Del Rey (near the ocean in LA County), just got a $500 rent increase. Yikes! The people at my complex complain $25-35 increases.
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Old 06-01-2013, 03:37 PM
 
Location: Liberal Coast
4,280 posts, read 6,082,647 times
Reputation: 3924
Quote:
Originally Posted by wrcousert View Post
Most landlords require an income of at least three times rent. At $1500 per month, you would need to earn $4500 per month or $54,000 per year to meet the minimum requirements. That works out to a little over $25 per hour or three times minimum wage.

Many apartments cost a lot more than $1500 per month.

I would consider $50,000 per year to be middle class, yet that isn't enough to qualify for even a one bedroom apartment.
Most landlords I've been seeing out here require two times the rent, not three.
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Old 06-01-2013, 03:38 PM
 
Location: Liberal Coast
4,280 posts, read 6,082,647 times
Reputation: 3924
Quote:
Originally Posted by CAVA1990 View Post
Or an increase in new construction, which is much more likely. Just curious why people would be homeless when their rising incomes are causing rents to rise.
Where exactly is this new construction going to happen?
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Old 06-01-2013, 03:54 PM
 
11,715 posts, read 40,438,984 times
Reputation: 7586
Quote:
Originally Posted by psr13 View Post
Most landlords I've been seeing out here require two times the rent, not three.
Wow that's really risky.
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Old 06-01-2013, 04:26 PM
 
Location: Rust'n in Tustin
3,265 posts, read 3,927,062 times
Reputation: 7048
I own a rental unit in Rancho Santa Margarita. It's a 700 sq ft 1-bedroom, 1-bath condo with an attached garage.

I rent it out for $1200 a month, with a $1000 security deposit, if that helps.
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Old 06-01-2013, 05:43 PM
 
Location: Liberal Coast
4,280 posts, read 6,082,647 times
Reputation: 3924
Quote:
Originally Posted by EscapeCalifornia View Post
Wow that's really risky.
It's reality when rents are so high. People who rent a two bedroom in Garden Grove aren't going to make $54,000.
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Old 06-01-2013, 09:34 PM
 
11,715 posts, read 40,438,984 times
Reputation: 7586
Quote:
Originally Posted by psr13 View Post
It's reality when rents are so high. People who rent a two bedroom in Garden Grove aren't going to make $54,000.
Then people can double up. Renting to someone who can barely make the rent is asking for trouble.
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