What a $1,500 a month rent gets you in Modesto — and what it doesn’t
In California and other states, the majority of renters are seeing that their dollar doesn’t carry as far, forcing them to live in smaller or even unconventional arrangements. According to Apartments.com, the average rent in the United States is just under $1,700, depending on housing size and location. Yet, some renters are finding that their dollar stretches a bit more in certain areas.
So, what can $1,500 get you in the Central Valley?
Nationwide, the amount is enough to secure an apartment that’s a little over 700 square feet on average, according to RentCafe. Interestingly, in approximately 65% of the 200 cities analyzed by the nationwide apartment search engine, $1,500 a month stretches a bit further than the average.
However, out of the 26 cities where $1,500 can’t event rent a studio apartment, 15 of them were in California.
Still, certain exurb and suburban areas provide hope for some California renters, where they can often rent a larger apartment for less money than coastal or more densely-populated urban cities in the state.
Out of the 43 California cities whose rent prices were analyzed by RentCafe, Modesto ranks sixth in terms of the apartment size one can rent for $1500 per month. For that amount in the Stanislaus County area, renters can find an apartment that’s a little less than 700 square feet, which is the average size of a one-bedroom apartment. The average rent for a one-bedroom apartment in the state is about $2,300, with some major hubs, such as San Francisco and Los Angeles, seeing higher rates, according to Apartments.com.
Other cities in the San Joaquin Valley where $1,500 gets you a similarly-sized apartment include Bakersfield, Fresno, Stockton and Visalia, where they take the top four spots respectively in California.
In some areas in the Central Valley, $1,500 could be enough to secure a two-bedroom apartment.
Additionally, renters in Modesto might find some relief in knowing that area rent prices are falling, albeit slowly. Compared to last year, rent has fallen by $82 for the region, according to Zillow.
Does this mean renters in Stanislaus County are truly better off?
Even with lower prices in less-populated areas, such as Stanislaus County, rent and other housing costs remain a significant weight on families county-wide. According to the Federal Reserve Bank, almost 40% of households in Stanislaus County are considered rent-burdened — 30% or more of their household income goes to housing expenses and utilities, leaving little for other bills or emergencies. For lower-income households in the county, over half of their income often goes to rent or mortgage.
Yet, this remains slightly lower than the national average. Nearly half of all 22.7 million renters in the country are rent-burdened, according to the Joint Center for Housing Studies of Harvard University.
According to the Stanislaus County Affordable Housing Needs Report, renters in the region need to earn $30.75 an hour — almost twice the minimum wage of $16.90 — to afford the average monthly rent of $1,599.