Summary
A study found that some U.S. cities allow retirees to live on Social Security alone, with enough to cover rent for a one-bedroom apartment. However, in many cities, particularly in states like California, Social Security benefits are not enough to cover the high rent costs, consuming most or nearly all of the retirees' income.
Key Facts
- A survey by Apartments.com showed 47% of renters spend more than 40% of their income on rent.
- The national average rent for a one-bedroom apartment is $1,740 per month.
- FinanceBuzz found that only a few U.S. cities, mainly in the Midwest, have affordable rents for those relying on Social Security alone.
- Cities like Toledo, Cleveland, and Wichita are affordable for Social Security recipients.
- California cities, including Irvine and San Francisco, have high rents that consume almost all Social Security benefits.
- The median rent in California is $2,628, one of the highest in the U.S.
- West Virginia has the lowest percentage of Social Security benefits spent on rent at 34.4%.
- Rent costs are likely to stay high until more housing is available in the market.
