NYC is the 8th most affordable big city in America*

Citizens Budget Commission says low transportation costs balance out high house prices. Sort of.

TRD TRI-STATE /
Jan.January 14, 2020 11:17 AM
Due to relatively high income levels and low transportation costs, New York City is the eight most affordable of 20 major cities (Credit: iStock)

Due to relatively high income levels and low transportation costs, New York City is the eight most affordable of 20 major cities (Credit: iStock)

UPDATE, Jan. 14, 2020, 2:33 pm: It may sound hard to believe, but New York is the eight most affordable city of the 20 biggest cities in the U.S.

That’s in part because low transport costs balance out high housing costs, according to a new study from the Citizens Budget Commission, a business-backed, fiscally conservative watchdog group, which used data from the 2016 Census to measure “location affordability” based on housing costs, transportation costs and income.

Click to enlarge (Credit: Citizens Budget Commission)

Click to enlarge (Credit: Citizens Budget Commission)

The study found that housing costs in New York were the fifth most expensive, with the “median household” spending 30.8 percent of its income on housing. (A“median household” is defined by HUD as a couple making the area’s median family household income who have two children.) Transport costs, on the other hand, were the lowest of the group — the median household spend was just $832 a month — while household income ranked eighth highest.

The study found that median households in 15 of the 20 cities spent more than 45 percent of their household income on housing and transportation costs. By this measurement, Chicago was the 10th most affordable, Los Angeles 12th, and Miami 18th.

Only five cities — Washington DC, San Jose, San Francisco, Boston, and Minneapolis-St. Paul — fell below the 45 percent level and could be considered “affordable,” by the study’s measurement, because they had relatively high household incomes.

So, in other words: despite placing eighth, New York isn’t really all that affordable. Despite New York’s relatively competitive position in the list, the study warned that it might not stay that way.

“High housing demand in relation to slow housing production and the Metropolitan Transit Authority’s fiscal and operational woes may increase costs and negatively affect New York City’s location affordability competitiveness,” the report said. [Citizens Budget Committee] – Sylvia Varnham O’Regan


Related Articles

arrow_forward_ios
Westhampton waterfront home listed with a 35-foot boat

Westhampton waterfront home listed with a 35-foot boat

Amagansett house inspired by Bauhaus movement listed

Amagansett house inspired by Bauhaus movement listed

Hamptons luxury residential market saw ‘lackluster’ past decade: report

Hamptons luxury residential market saw ‘lackluster’ past decade: report

Southampton Village home sells after almost $4M in price chops

Southampton Village home sells after almost $4M in price chops

From left: 263 Surfside Drive and Ivan Kaufman with 901 and 939 Scuttle Hole Road (Credit: VHT Studios, Arbor)

The 10 priciest Hamptons home sales of 2019

Sagaponack property sells for $10M less than original list price

Sagaponack property sells for $10M less than original list price

Co-founder of store that sold ‘Big’ keyboard lists Sag Harbor home

Co-founder of store that sold ‘Big’ keyboard lists Sag Harbor home

The bombshell probe also found that minorities had to meet more stringent financial qualifications than white buyers. (Credit: iStock)

LI agents routinely discriminate against minority buyers, undercover probe finds

arrow_forward_ios
Loading...