How to Afford Rent when Wages Remain the Same but Costs of Living Rise

With inflation at an all-time high, many people feel the pressure as living costs continue to rise. While basic living expenses like rent, fuel, and food increase, most people have not seen a rise in their wages, making it even more challenging to afford their costs.

Many financial experts advise that you not spend more than 30% of your wages on rent. Paying 30% or less should leave you with enough money to cover your other costs, depending on your needs. However, because of increases in rent and housing prices, many people spend above 30% of their income on rent, making it difficult to meet other financial obligations.

Because this large chunk of income is spent on rent, many are concerned about their futures, and many others worry about where they will live.

While it’s not always advisable to go into debt, having a roof over your head is a necessity. If you face eviction or need to pay a deposit to secure an apartment, you may want to consider taking a loan if you don’t have the funds in your savings. If you have a poor credit score, you will likely be eligible for a poor credit loan. There are several online lenders who offer bad credit loans. For example,  you can apply for CreditNinja loans online.

A loan may help keep a roof over your head, but there are other options which may help reduce the amount you spend on rent.

Consider Getting a Roommate

If you have more than one bedroom, consider getting a roommate. Having a roommate will cut your rent in half, which can lead to considerable savings. Be sure to consult your landlord before seeking a roommate to ensure it’s permitted. If your landlord authorizes it, ensure you get it in writing and have a new lease drawn up. Having a roommate means your utility bills will also be shared.

Negotiate the Lease

If you’ve been a good tenant – you’ve paid the rent on time, looked after the property, and not had any trouble with the neighbors or landlord, you’re in an excellent position to negotiate the lease when it’s up for renewal.

Having tenants moving in and out of the apartment is usually more expensive than giving a long-term tenant a reduction in rent. Apart from the costs involved in moving you out, advertising the property, and moving a new tenant in, it also takes a lot of time.

Independent landlords usually have more flexibility than property management companies and are open to negotiating.

Landlords may also be willing to reduce your rent if you sign a longer lease. If you plan on staying for a few years, consider signing a two or three-year lease.

Rent in a More Affordable Location

Some areas and cities are more expensive than others, so moving to a cheaper city can be an option. In some cases, you are likely to get a larger family home for the same price or even less than a one-bedroom apartment in a big, sought-after city like New York.

Before relocating to a more affordable area, you need to work out the costs. If you still need to commute to work and the place you want to move to is far, for example, you may save on rent, but your travel costs will increase. It is therefore important to calculate the costs of staying where you are compared to moving to a cheaper location with increased travel costs. It may be more cost-effective to stay put.

Relocating can be a good option if you work remotely or if it doesn’t increase your other costs substantially.


Rental costs continue to rise, and many people spend much of their income on rent. To reduce the amount spent on rent, consider the tips listed above to help you cut costs and put money away for savings.


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