Singles in the US pay thousands of dollars in so-called ‘single’s tax’, as housing rental prices soar
A recent study from the Pew Research Centre showed that more Americans are now unpartnered than ever before, referring to those who are not married nor living with a partner, leaving them to bear the full cost of their housing rents.
NEW YORK: Singles in the United States are forking out thousands of dollars extra on rent, in what is being dubbed a “single’s tax”, research has shown.
A recent study from the Pew Research Centre showed that more Americans are now unpartnered than ever before.
The categorisation refers to those who are not married nor living with a partner.
This leaves them to bear the full cost of their housing rents, at a time when prices are being driven up.
NEED FOR ROOMMATES
New York City is one of the world’s most expensive places to live, and is tied only with Singapore, according to data from 2022.
Residents like Mr Roman Martinez, a barista by day and a DJ by night, are feeling the brunt of it.
He works seven days a week roasting coffee and spinning behind the decks. But without a partner to split living expenses with, Mr Martinez has had to find innovative ways to stay on top of his rent payments.
"The rent went up another $250, which is not an insane amount but in long-term effects, it could really be affecting,” he said.
He had originally hoped to live in his Harlem apartment alone.
“You’re kind of riding on the edge as it is, living alone. I needed to find something a bit more stable. Through the pandemic, a lot of people left this area, so my coffee shop … we didn’t know if we were going to make it,” he said.
He eventually brought in a roommate who rented the second bedroom in his apartment.
Mr Martinez’s situation in coping with the financial burden alone is not unique, research has shown.
RISING PRICES
Soaring inflation has had a knock-on effect on rental prices, while record-high interest rates have squeezed the market even tighter than usual.
Ms Emily McDonald, a communications manager for rentals at real estate firm Zillow, told CNA: “If mortgage rates are high, people tend to stay in the rentals market for longer.”
The average age of the first-time home buyer is now around 37 years old, compared to around 33 or 34 before the pandemic, said Ms McDonald.
“People are staying in the rentals market for longer, and just putting that additional pressure on the rentals market and causing prices to rise."
In New York City, the average studio costs US$2,900 per month, according to data from Streeteasy.
In Manhattan, the price for a similar space has climbed to almost US$3,200, and US$4,000 for a one-bedroom apartment.
This has driven many people to live further out from the city instead.
Mr Alex Abrahamson, a real estate broker from Serhant, told CNA: "There’s been a rise in a lot of the surrounding neighbourhoods, or boroughs rather.
“We have a lot of stuff going on in Long Island City, Brooklyn, Queens as well, where we’re seeing people start to move a little bit out of the immediate Manhattan area, to save costs on rent."
Many had left the city in droves when COVID-19 struck, easing pressure on the market and forcing prices down to their lowest levels in years.
With people now steadily returning, rents are soaring once again, with housing options not getting any cheaper for singles.
