While many states are seeing rental costs increase, some are seeing more affordable rates.
the main points
- Most rent or mortgage payments are the most expensive expense they pay.
- Rent.com examined average rental costs on a yearly basis in December 2022 to see which states are seeing price increases and which are falling.
- Based on his findings, Idaho, Nevada, Virginia and Pennsylvania are a few states that have seen decreases in average rental prices.
With the cost of living increasing, it can be difficult to find affordable housing. While many states are seeing rising rental costs, not all are. If you have the flexibility, you may be able to take advantage of reasonable rental costs by moving out of state. Housing is a big expense for most people, so cheaper rent may help you reduce your expenses so that you can improve your expenses. personal financing Attitude. Find out which countries are seeing lower rental costs.
Eight states with rapidly declining rents
Rent Report for January 2023 from Rent.com It examined annual changes in rental prices in December 2022. Here are the countries that experienced the largest declines in rental costs based on its findings:
- Idaho: 5.4%
- Nevada: 2.7%
- Arizona: 2.5%
- Oregon: 2.4%
- Virginia: 1.2%
- Maryland: 1.1%
- Pennsylvania: 0.7%
- Georgia: 0.6%
The same report set median rental rates for each state. Rent.com looked at available rental inventory and different bedroom types to calculate a simple average. These were the average rental prices in those eight states in December 2022 based on its research:
- Virginia: $1,946
- Maryland: $1,862
- Oregon: $1,768
- Georgia: $1,716
- Pennsylvania: $1,646
- Idaho: $1,642
- Nevada: $1,586
- Arizona: $1,541
All of the above states have median rental prices that are more affordable than the national average, which was $1,978 in December 2022.
Don’t forget to think about other costs before you move out of state
Can you save money by moving to a country with lower rental rates? Could. But before you sign a new lease in a different state, you should consider how your finances will change by moving to another location. While housing costs may be cheaper, other expenses may change when you move.
Here are some financial considerations to take before planning to move out of the country:
- state income tax: While Not all states have an income taxMost of them do. When you move from one place to another, your state’s income tax liability may change. Be sure to calculate how this will affect your salary.
- local income tax: You may find that your local income tax responsibilities will differ in a new area. It is best to research this before you pack up and move.
- Vehicle registration and inspection costs: If you own a car, you will need to research how the vehicle registration and inspection costs can change.
- Transit costs: If you do not drive, you will need to examine the costs of moving into your new home. If transit is limited, check to see if you can find a rental in a more walkable area.
- sales tax: sales tax is another cost that can vary by state and city. It’s a good idea to research the sales tax rate where you plan to move so you won’t be surprised.
- insurance: Don’t forget to research the rates for insurance costs in your new state, eg car insurance and rental insurance.
Moving to a new state can be a win for your wallet
If you are struggling to afford the increased rent costs where you live now, moving to another location can be an excellent way to reduce your expenses to save money. I advise your budget When looking at real estate so as not to overcommit beyond your financial means. It’s also best to research how other costs differ when you move out of state.
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