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For most Americans working on minimum wage, the outlook on rent is becoming gloomy. The National Low Income Housing Coalition recently conducted a study that revealed there are no states where a minimum-wage worker on 40 hours a week can afford a 1 bedroom rental. In fact, the study showed the amount of wage needed to rent a 2 bedroom place is $20.30/hour!
To give you an idea of how out of whack that number is, the average hourly pay nationally is $15.42/hour. The federal minimum wage, at around $7.25/hour, is only a 3rd of what is needed to afford a average 2 bedroom rental. That means minimum-wage workers have to work 3 jobs or 112 hours a week!
This means a lot of a tenants income goes to pay the rent, making it difficult to save money for a down payment to buy a home. The prices of rental is different from state to state, so the National Low Income Housing Coalition created this map indicating the minimum wage required to rent an average 2 bedroom in each state.