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Report shows how many New Yorkers are willing to downsize to save for a down payment on a home

Photo of pedigree cute dog poses on pile of cardboard boxes with owner belongings, relocate in new flat, empty room with white walls, lamp and sofa, big window. Animals and Moving Day concept
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With the price of homes continuing to climb, one study took a look at which cities had residents who were downsizing in an effort to save up a down payment.

RentCafe has delved into the research on the current housing market to reveal some interesting facts. In a survey of 3,700 participants, it has been found that 1 in 3 apartment renters are willing to downsize to a smaller unit to put money aside for a starter home.

RentCafe observed the housing markets and renter fees of 200 cities to see which ones could save up the fastest for a down payment on a starter home. NYC got the 8th place spot on this list despite it being home to some of the smallest apartments in the nation.

Studies show that by giving up a single bedroom’s worth of space, renters across the nation can save an average of $3,735 per year. New Yorkers struggle to afford spaces all across the city as the post-COVID-19 pandemic market takes over, but it is still possible to save money for a home.

Renters who have the privilege to downsize their space to a singular bedroom in New York City can save an average amount of $20,148 per year. This is RentCafe’s highest annual saving on their top 50 list.

If New Yorkers are able to put this money aside for approximately 2 years and 7 months they could consider putting a downpayment on the city’s starter homes, which cost around $531,117.

Right next to NYC, renters in Jersey City will have to save for approximately 4 years to afford a starter home in their area. Their annual savings with downsizing only amounts to an average of $10,128 per year.

To learn more about how you can save up for your first home, click here.

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