Damned if Jimmy McMillan didn’t give us something to talk about, even if the topic is as old as civilization.
The standard-bearer for the Rent is Too Damn High Party made a decent showing in a crowded field of contenders to become the next Governor of New York State.
After receiving over 40,000 votes, the man who bought you the best one liner in politics this electoral season has struck a chord. Seems people looking at Brooklyn apartments for rent are echoing Jimmy’s campaign slogan.
But complaining about it doesn’t solve your problem. You’ve got to lease an apartment because you’re wearing out your welcome where you are now.
Since you’re already using the Internet to find your new place in Brooklyn, we thought you could use some more help making the right choice financially.
How much rent can I afford?
I have rented a lot of apartments over the years to some great people. I’ve also failed to rent apartments to some great people.
Each of them had one thing in common when it came finding an apartment in Brooklyn.
All would begin shopping first by neighborhood, then by location, and finally narrow it down to the block they wanted to live on.
Nothing’s wrong with the process initially, except it doesn’t take into consideration the single most important factor … can I afford to pay their rent on my income?
Why you should have a household budget before you rent
I leased my first apartment in Brooklyn back in 1985 on Madison Street in Bedford Stuyvesant for $400 a month.
Sounds like I got the deal of a lifetime, until you consider what I was earning in my first full-time job right out of high school.
I was making $11,000 a year and thought I was ballin’ back then. That is until I realized I was spending too much of my income to live in my bachelor pad.
Without considering other expenses (i.e., commuting, lunch, groceries, utilities, clothes and entertainment), my rent alone was costing me nearly 44% of my gross monthly income.
After deducting for payroll taxes (and that mysterious F.I.C.A.) I was working to pay rent and surviving off tuna fish and captain crunch cereal.
I learned a hard lesson back then … spend what you can afford and live within your means.
the 35% Gross Income to Rent rule
You should never spend more than 35% of your gross income on rent.
By following this rule, you’ll be assured of having the money needed to make ends meet and possibly begin saving for your dream home.
Pay more than 35% and you’ll be returning home to sleep on your parent’s couch because they’ve converted your former room into a home office or gym or walk in closet.
What does 35% of my Gross income look like
Take a moment to find your annual household income in the column to the left of the chart below.
Then see how much of your income should be budgeted to pay rent each year in the center column.
Finally, the column to the right will show how your budget for rent should be spent each month.
After reviewing the chart, you should have a good idea if your budget will allow you to
- Rent alone or with Roommates
- Lease a Studio, 1BR, 2BR or Duplex apartment
- Look for your new place in a more affordable neighborhood
What’s your renting situation look like?
Are you renting an apartment in a neighborhood you can barely afford? Not sure about living in that more affordable neighborhood?
If you’re using the chart above then let us know in the comments below what your budget is for rent and we’ll reply back the best areas to live within your renting means.
But if you want to get an idea of what’s available now, then click the link to see Brooklyn apartments for rent.
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