According to a new analysis from GoBankingRates.com, Philadelphia residents have to earn more than twice as much as the local median income to be able to comfortably rent or own a home in the area, writes Ashley Portero for the Philadelphia Business Journal.
To determine how much a person needs to live comfortably in the nation’s 50 largest metros, the website used Zillow housing information along with price estimates of necessities such as transportation and groceries from Sperling’s Best Places.
The analysis then used that information to determine how much is required for each city to stick to the “50/30/20” rule of budgeting, where 50 percent represents basic needs such as housing and groceries, 30 percent are wants, and 20 percent are savings.
The analysis determined that in Philadelphia, the income required for comfortable living for homeowners is $82,439. Meanwhile, for renters, this amount is $92,639.
This means that the local median income of $40,649 is significantly below what is needed to easily buy or rent in the area.
Read more about how much you need to live comfortably in various cities nationwide at the Philadelphia Business Journal by clicking here.
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