The Strategist

10 most expensive cities for renters


04/25/2016 - 15:49



According to new Global Cities Business Alliance’s report, the fastest growing cities of the world are not always available to its own residents.

This non-profit organization, headquartered in London, has compared some of the largest business centers in the world to understand the scale of the crisis in the housing market worldwide. The analysts compared the average monthly cost of rental housing, as well as the share of expenditure on housing in the total income for 2015.



Kentaro Iemoto
Kentaro Iemoto
10. Paris, France

The average rent per month: $ 880

The share of spending on rent in total expenditure: 36.2% of revenue

Paris is a city with a relatively low-cost housing rent. Average monthly rent is around $ 880, lower than the rent in other European cities, such as London, where the monthly rental cost exceeds $ 1 thousand.

9. London, United Kingdom

The average rent per month: $ 1430

The share of spending on rent in total expenditure: 50.4% of revenue

London’s housing market is not experiencing the best of times at the moment. However, London inhabitants’ income is still quite high, so the city takes only 9th place in the ranking.

8. San Francisco, USA

The average rent per month: $ 2824

The share of spending on rent in total expenditure: 50.5% of revenue

San Francisco is a city with a very high price to pay for rental housing in absolute terms.

However, wages are high, which generally puts the city only on 8th place in the ranking of cities with the most expensive rental market.

In addition, San Francisco is among the cities with the fastest growing rental cost: rental prices have increased by 66.7% since 2009.

7. Dubai, United Arab Emirates

The average rent per month: $ 1281

The share of spending on rent in total expenditure: 55.4% of revenue

Dubai is one of the two UAE cities appeared in the ranking. However, rents are not very high here in comparison with Abu Dhabi, and rent costs account for only 55.4% of the city population’s income.

6. Mexico City, Mexico

The average rent per month: $ 385

The share of spending on rent in the total costs: 58% of income

Mexico City has the lowest rental in absolute terms among the cities represented in the list.

However, low incomes put it on the 6th place in the ranking of most expensive cities in terms of rental housing. Rent is increasing rapidly here: since 2009, the average cost of rental housing has increased by 44%.

It is also a city with the longest commutes: 113 minutes on average.

5. Shanghai, China

The average rent per month: $ 518

The share of spending on rent in total expenditure: 58.3% of revenue

Shanghai is distinct not only because of the high rent, but also by its position in the top-three cities with longest commutes. On average, such a trip takes 101 minutes.

4. New York, USA

The average rent per month: $ 2,629

The share of spending on rent in total expenditure: 63.1% of revenue

New York takes 2nd place on the rental value of housing in absolute terms. Therefore, the city rests on the 4th place in the ranking.

3. Hong Kong, China

The average rent per month: $ 1930

The share of spending on rent in the total costs: 64% of income

Hong Kong is among the cities with the highest growth rates of rental prices. Since 2009, the price rose by 49.7%.

However, the population’s wages grow not so fast, so the city took 3rd place in the ranking.

2. Abu Dhabi, United Arab Emirates

The average rent per month: $ 2460

The share of spending on rent in total expenditure: 69.5% of revenue

In absolute terms, rental of property in Abu Dhabi is also very expensive - $ 2460 per month. In relation to the income, the rent account for almost 70% of total revenue, so the city took 2nd place in the ranking.

1. Beijing, China

The average rent per month: $ 789

The share of spending on rent in total expenditure: 122.9% of income

Beijing is the winner. In addition, the city is also one of the three cities where residents spend a long time on commutes: 104 minutes on average.

source: independent.co.uk




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