10 cities where getting a roommate saves you the most money — and 3 where it’s probably not worth it
Make room for a roommate.
At least if you want to save $10,000 or more this year. According to data released Wednesday from personal finance site SmartAsset, in five of the top 10 priciest rental markets, getting a roommate can save a person more than $10,000 in rent every year. SmartAsset looked at the average rent for a one-bedroom and a two-bedroom in 50 cities across America.
That’s thanks, in part, to rising rents. From the beginning of 2016 to present, rents have climbed more than 4% to $1,442 per month nationwide, according to data from Zillow.
Many people — roughly 5.8 million of them, according to Census Bureau data — already have a roommate. And if our embattled financial situations are any indication — more than half of Americans have less than $1000 in savings — many more of us should consider it.
Especially those of us living in certain spots. “Renting in California’s largest cities is pricey,” the SmartAsset report reveals. “Of the top 10 places where it pays off most to live with a roommate, five are in California — with Long Beach, California ranking just outside the top 10 in 11th.”
10 cities where you save the most by having a roommate
|City||Average you’ll save each month on rent by having a roommate||Average you’ll save each year on rent by having a roommate|
And these numbers just represent saving on rent. You can also sometimes save on utilities by having a roommate and may be able to create efficiencies in cooking and other household tasks that can also save money.
Of course, it’s not always completely worth it to have a roommate. “Five of the cities where it pays off least to have a roommate are in the Midwest. Across Midwest cities in the bottom 10, the average returns to having a roommate are just under $300 per month,” the report reveals. Witchita (it saves you just $260 a month to have a roommate), El Paso ($254) and Tucson ($242) are the three places it saves you the least amount of money to get a roommate.
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