TradeStation

Get Cash Back and $0 Commissions
+ The Power of TradeStation

Renting alone? The 'singles tax' now exceeds $7,000

PRNewswire 12-Feb-2024 8:00 AM

As the cost of independence rises, Zillow offers a fresh solution for those flying solo

  • The "singles tax" increased this year, now standing at $7,110.
  • Cohabitating renters collectively save $14,220 annually on average by living together, but that can be as much as $40,200 in New York City.
  • Zillow users can now list and search for individual rooms for rent, reducing housing expenses by finding a roommate to share costs.

SEATTLE, Feb. 12, 2024 /PRNewswire/ -- Zillow's latest findings reveal a steep "singles tax" that could dampen the spirits of solo dwellers. Renters braving the one-bedroom market on their own are now paying a premium of $7,110 per year to live alone, an increase of more than $100 from last year's already staggering figure.

In New York City, where personal space comes at a premium, singles still shoulder the most significant burden in the country for the luxury of living alone. According to data from Zillow's New York City brand StreetEasy, the additional annual cost for solo living has reached $20,100, a $600 increase from last year.

Conversely, cities like San Francisco, San Jose, Boston and Washington, D.C. have seen modest reductions in their singles tax. While these small declines provide a bit of financial breathing room, they don't mitigate the broader affordability challenges in major cities.

"While some renters may envy their coupled-up friends for dodging the singles tax, solo renters enjoy perks that go beyond financial savings. There's no arguing over which show to binge-watch next or disputes about whose turn it is to clean up after dinner," said Emily McDonald,¬†Zillow® rental trends expert. "Still, it's crucial for renters to really dive into what living alone costs in their area and decide if the price tag is worth it."

Singles Tax 2024

Zillow's analysis also reveals that cohabitating renters across the country enjoy annual savings of $14,220 over their solo-dwelling counterparts. The financial benefits of living together becomes even more pronounced in pricier cities, with couples in New York City seeing potential savings of $40,200. This considerable sum could be used to help erase credit card debt, invest in a retirement fund or contribute to a down payment on a home.

For singles looking to dodge the singles tax, embracing the roommate route presents a popular solution to keeping housing costs in check. Zillow recently rolled out room listings, aimed at alleviating the financial strain of living alone. This new listing type offers users the flexibility to both find and offer individual rooms for rent, seamlessly bridging the gap for those seeking a more budget-friendly living arrangement.

About Zillow Group
Zillow Group, Inc. (NASDAQ:Z) is reimagining real estate to make home a reality for more and more people. As the most visited real estate website in the United States, Zillow and its affiliates help people find and get the home they want by connecting them with digital solutions, great partners, and easier buying, selling, financing and renting experiences.

Zillow Group's affiliates, subsidiaries and brands include Zillow®, Zillow Premier Agent®, Zillow Home Loans?, Trulia®, Out East®, StreetEasy®, HotPads®, ShowingTime+?, Spruce® and Follow Up Boss®.

All marks herein are owned by MFTB Holdco, Inc., a Zillow affiliate. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org). © 2023 MFTB Holdco, Inc., a Zillow affiliate.

(ZFIN)

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/renting-alone-the-singles-tax-now-exceeds-7-000--302058927.html

SOURCE Zillow