Any type of housing in Connecticut will likely come with significant costs. While data shows that renting in Connecticut is cheaper than paying a mortgage in the state’s top five metropolitan areas, the cost of renting in some cities may be higher than others.

In a recent WalletHub study ranking the best and worst places to rent in the United States, New Haven was ranked among the least affordable cities to rent. Considering the dimensions of “rental market and affordability” and “quality of life” in the ranking, the study compared 182 cities, which included the 150 most populous US cities and “at least two of the most populous cities in the United States. most populated in each state ”.

After looking at factors like cost of living and rent-to-price ratio, as well as data on city satisfaction and the quality of public schools (among other things), WalletHub analyst Jill Gonzalez said in an email that New Haven ranked the “30th worst place to rent in America.”

“The city ranks fourth in terms of rental affordability, as the median annual gross rent represents 34% of the median annual household income,” she said. “In the same vein, the rent / price ratio is one of the highest, at almost 11%. “

The ranking used data from the US Census Bureau, the Council for Community and Economic Research, and the Department of Housing and Urban Development (among others) to calculate scores for measures such as rent affordability, which has been reported. calculated on the basis of the median gross rent in the divided area. by its median annual household income.

Other factors taken into account include cost of living and rent-to-price ratio (which is a calculation comparing the average rent to the average monthly rent for owning a home in a given area). Factors such as city satisfaction and the quality of the public school system (which draws on data from were taken into account to assess the quality of life in each city.

New Haven has “always been more of a tenant city” than other surrounding areas, according to Luke Eddinger, director of property management firm Robert C. White & Company in North Haven. Noting that about 28% of homes are owner-occupied in New Haven – compared to over 60% in surrounding communities – Eddinger said in an email that New Haven is being built for rental.

“Much of the residential development over the past 10 years in New Haven has been multi-family rental units,” he said. “The large concentration of universities in and around New Haven has also increased the demand for rental housing and pushed up rental prices.”

Regarding the cost of living in New Haven, Eddinger said the problem is not exclusive to the city and rather is “a much larger Connecticut problem.” However, there are factors that could increase the cost of living in Elm City in particular.

“Property taxes in New Haven are high and rising, which definitely affects the affordability of rentals,” he said. “Even though tenants don’t pay property taxes directly, increases in the tax bill are passed on to tenants by landlords in a very predictable way. “

Another factor to consider when it comes to the cost of renting in New Haven is the current real estate market. At Robert C. White & Company – which rents and manages single-family homes, condos and townhouses, as well as other multi-family homes in and around New Haven – Eddinger said demand for rentals in New Haven is still high and driving up the rental price.

“We’ve seen prices go up 10% and more over the past 18 months in and around New Haven,” he said. “Applicants regularly offer to pay more than the asking price, which is very rare in the rental market, just to give themselves a head start over other potential well-qualified tenants.”

While WalletHub’s Gonzalez noted that other factors contributing to New Haven’s ranking included “the lack of available jobs and the quality of the public school system,” Eddinger offered a different perspective on the city.

“New Haven is probably the youngest city in all of Connecticut – the average age of its residents is 30.8 years,” he said. “That’s much lower than the average age of 41 in Connecticut and lower than other major CT cities like Hartford at 32.1 or Stamford at 36.9. Universities certainly influence this, but it also translates into a city with a younger vibe that attracts other young professionals to live there.

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