I'll be starting full-time in NYC this summer and I was just curious about how much I should spend on rent. I know for NYC you don't need to start looking for housing until it gets closer, but I figured I'd begin thinking about it regardless.
If I were to live in Murray Hill/Turtle Bay/Kips Bay (i.e. Midtown East area) with a roommate, how much should I realistically spend? Is it worth flexing a 1 bed/1 bath or flexing a 2 bed/2 bath (and getting a third roommate)? Or would spending around $2,100/person each month be worth it to have my own bathroom (in a 2 bed/2 bath)? Curious what other people have done in the past.
Bump
Judging from the "I can't save money" post where he/she is paying 1900 on month and was told to spend less than that, I think you should def not spend 2100.
I'm a second year doing $1,200 a month... 1 bedroom flexed into 3. It sounds bad but it isn't, got more than enough space and our schedules don't clash.
Go cheap. I'm doing 8% pre-tax into my 401k + $100 a week into a Roth IRA. On top of that I'm setting aside $200 a week in cash savings.. almost all of that is covered based on my rent savings. I've already got a nest egg of nearly $23k, many associates I know have much less because they simply spend too much.
lol you're making 85k/yr (assuming street comp) and you want to "flex" with 2100 for rent? That's a third of your PRETAX income. Do not make this poor, poor life decision.
And I know I'm not counting bonuses but just most of my cost of living budget doesn't include bonuses - it usually goes straight to savings and one blowout night.
The 2100 would be getting a 2 bed/2bath for 2 people in a luxury building, doorman, elevator, laundry in the apartment, etc. Flexing a luxury apartment would bring rent more in the 1600-1700 range.
Find a roommate and split a walkup. You should be able to get it down to $1600.
https://www.renthop.com/map?bedrooms%5B%5D=2&min_price=0&max_price=3500…
~$2000 for rent isn't ridiculous if it's a nice place and you limit your spending on other things accordingly. When I was looking, Murray hill/Kips bay pads all seemed to be in the 1800-2000 range with a roommate after taking into account broker's fees. Personally I'd rather pay extra for a nicer place with amenities, but if your group works a lot it might not be worth it
That's a lot of cash. I would not look at a luxury home situation until you can enjoy it and it's expected of you. You're what, 23 years old? The women you're going to be dating, assuming you even have the time, aren't going to care if you don't live in a posh flat.
I would strongly advise spending as little on rent as possible. I am not saying that you need to live on a park bench, in a 1 BR with three other guys, in NJ, etc., but every dollar that you spend on rent is a dollar not going into your 401k. Ya, ya, I know, that sounds like something an old man would be saying, but the difference between someone who starts saving for retirement early vs. someone who starts later is astronomical. You really are hurting yourself, unless retiring early/having a financial cushion is something that you are not interested in.
My first apartment in NYC was in Chinatown, $1,000/month. For that, I got rats, roaches, bedbugs etc. 10/10 would recommend to save money. Live like a 19th c. Italian immigrant.
Sounds an awfully like what Steve Schwarzman described as his living conditions at his first job in King of Capital. Curious if there is a correlation between living like a 19th c. Italian immigrant with roaches and rats and becoming a billionaire.
Still in banking. It definitely helped my motivation. I live in a luxury high rise now.
.449884 correlation with a 15% standard deviation and a 0.00424 X score taken to the 3rd derivative
Find an apt on UES (70th and up). total rent 1900, split with another roommate. little far up, but i loved the location. Hated murray hill LES, dirty, noisy. going out there, fine, living? wanted somewhere quieter.
This was 2 years ago
Just make sure you reside in manhattan proper and have your own bedroom...good luck dragging bishes out to some borough
What about Jersey City? I know they're building luxury apartment complexes all over there and Hoboken which are astronomical rents, but not sure how some side streets are with housing if its bad areas or not.
Have you considered Stuy town? Can't really walk to work if that's your goal. 1400-1700 in a huge bedroom, 2 other roommies.
$1,200 for first year analyst. Put a curtain up in a one bedroom to get two people in there.
Seriously.... at a minimum have your own bedroom. I cannot understand sharing a 1 bedroom to save money
How much to spend on housing (Originally Posted: 03/15/2010)
How much do you spend on housing as a % of after tax income ?
or as a percentage of pre-tax income...in NYC.
lol yeah.. but Im not so sure if you have to pay NY income tax though since you are not a NY resident ..
idealy, in my case, I would say 20-25% of my pretax. which is more or less 50% of my after tax.. depending on my deductions etc..
in general 40% post-tax is good, I wouldn't go over 50%
So I'm guessing the 1500-1800 you guys are saying, gets you a shithole in NYC, no?
Not more than 30% post-t
it really depends on what your other expenses are.. I put up a lot in housing coz I don't pay for school loan etc and I like bigger space..
So that being said, how much of your pre-tax salary do you pay in rent? And are you in NYC?
your best option would be NYU dorms if you work at financial district, around 300 a week. I lived in my friends apartment at NY and he only charged me 1k/mon. Right now I live in Miami and it costs me 2k/mon~ this summer I will be living in NYU too.
I'm talking FT not SA.
As low as you can go without exposing yourself to violent crime.
Well, in that case, it would cost more~ my friend's two bedrooms at Greenwich cost around $4800 a month~ its not exactly a shithole..pretty standard~
Damn, 4800/month? No way can a kid in IBD afford that...that's more than after-tax salary lol. Say you're going to be living with your girl...how much should you expect to pay for a decent 1 or 2 bedroom close to the office?
As low as $1,500 and as high as $5,000 depending on what your definition of "decent" is. Probably in the $2k range for a 1bed in Manhattan, $1k for New Jersey and Brooklyn/Queens.
I pay 2K for an aptment off park
1 bd? How nice is your place and what's the size? For those of us who don't know NYC, what area is that in?
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