The cost of rent is soaring in many major cities, but Americans can still find low-cost options in up-and-coming spots in the South.
In 13 of the 100 largest US metros, more than one third of apartment listings are priced below $1,000 a month, according to new analysis from Zillow.
And just because a city is cheaper doesn’t necessarily mean it has less to offer residents.
Wichita, a trendy city in Kansas, has the highest share of apartment listings with monthly rent under $1,000 — at 54 percent.
In Wichita, $1,000 can afford renters apartments in luxury buildings with pools, fitness centers, and pet parks.
Renters who aspire to own property of their own some day might also want to consider moving out of expensive cities, and into cheaper areas.
‘It’s no secret that rents and home prices have sprinted ahead of incomes. For many renters, that makes saving for a down payment feel out of reach,’ said Zillow senior economist Kara Ng.
‘Moving to a more affordable area can really boost long-term financial health — and in pricier cities, renting a room has become one of the few ways to keep housing costs manageable.’
Wichita is a trendy city in Kansas where 54 percent of apartments have monthly rental prices under $1,000
Wichita is seeing significant downtown development (Pictured: The Arkansas River Pedestrian Bridge)
Kara Ng is a senior economist at Zillow
In Wichita, renters can even score entire homes with as many as four bedrooms for just $1,000 a month, according to listings on Zillow.
The Kansas city is seeing significant downtown development. The riverfront is undergoing a major makeover and the city is investing in new apartments, restaurants, and large-scale infrastructure projects. The city also has a growing tech sector, bringing with it more jobs and money.
Wichita is known as the ‘Air Capital of the World’ due to its history and dominance in the general aviation industry, with many aerospace companies having a major presence there.
It’s also famous as the birthplace of multiple giant food chains, including Pizza Hut, White Castle, Freddy’s Frozen Custard & Steakburgers, and Taco Tico.
McAllen, Texas, follows Wichita in the rankings and is the only other top-100 metro with more than half of apartments renting for less than a grand.
Famous for its rich Hispanic culture, vibrant arts and culture scene, and outdoor and nature-related activities, McAllen is a popular area for ‘Winter Texans’ — a term for people who visit for the winter months and then return to their home state.
McAllen is considered up-and-coming because of its booming economy, strategic location for international trade, and growing population — with a current annual growth rate of 0.94 percent.
Third on the list is Little Rock, Arkansas, where 49 percent of apartments cost less than $1,000 to rent per month.
The Wichita riverfront is undergoing a major makeover and the city also has a growing tech sector, bringing with it more jobs and money
McAllen follows Wichita in the rankings and is the only other top-100 metro with more than half of apartments renting for less than a grand
Famous for its rich Hispanic culture, vibrant arts and culture scene, and outdoor and nature-related activities, McAllen is a popular area for ‘Winter Texans’
Little Rock, Arkansas, is among the US cities which offers many apartments for less than $1,000 a month
In Toledo, Ohio, 46 percent of homes are below that threshold, while in Oklahoma City, the figure is 42 percent.
On the other end of the spectrum, many major cities are becoming steadily unaffordable for renters.
In New York City, for example, the median asking rent reached $3,599 in the third quarter of this year, up 5.4 percent from a year ago.
Amongst the areas most difficult to find cheap rent are Boston, Miami, Charleston, and Washington, DC — which all 1.7 percent or fewer listings costing less than $1,000 a month.
Economists at Zillow suggest that renters looking to save money should rent a room within an apartment or larger home. This method of house hunting can make living in highly desirable areas more affordable.
The median list rent for a room is $1,000 or less in 86 of the 100 largest US metros — including highly sought-after areas, such as Chicago, Seattle, and Atlanta.
For many Americans, $1,000 is less than their monthly grocery bill.
The average amount that an American family of three is spending on groceries each month is $1,104, according to food delivery business Instacart.
