MONEY
Rent Just Ate 42% of the Average Gen Z Paycheck
New affordability data shows under-30s now spend more of their income on housing than any generation on record.
Median rent now consumes 42% of a typical under-30 paycheck in major metros — past the 30% 'affordable' line economists use, and up from 34% five years ago. Wage growth isn't keeping pace.
- 42% of median under-30 income now goes to rent in the top 20 metros
- The 'affordability line' economists use is 30% — this generation blew past it in 2024
- Wages for under-30s grew 3.1% last year; asking rents grew 5.8%
- Roommate rates among 25-29 year olds hit the highest level since the 1940s
WHY THIS MATTERSIf your rent renewal lands this year, negotiate BEFORE the notice window closes — landlords settle 8-12% below asking more often than they admit. And yes, it's not just you: the math actually got worse.