How Much Does It Cost To Manage Living In NYC?

By: Abdullah Haroon December 13, 2021

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New York City is the dream destination for people who look forward to materializing their dreams. It has been described as a ‘land of opportunity and it truly lives up to that image. The city is home to several big industries which extend tremendous opportunities. One is likely to find job opportunities here more than in any other city.

However, managing to live in NYC is no walk in the park. Some people even call it the most expensive city in the world. You may imagine how much struggle would go into ensuring your survival.

The silver lining is that the city is quite big which is divided into five boroughs: Manhattan, Brooklyn, Queens, Staten Island, and the Bronx. Having such diversity in the city, one may find the most expensive as well as most affordable housing at the same time.

Let Us Find Out What Are The Average Costs Of Some Basic Requirements Here:

  • Rental Costs:

Buying a property in NYC is too expensive for the majority that they simply resort to renting an apartment. According to stats, almost two-thirds of the local population lives in rental buildings. So, it is a major expense added to the living cost. It consumes a quarter portion of one’s earnings somewhere between 25% and 30%. Manhattan is the most expensive borough having average rent near $4000 per month while one may find a home at an average rent of $2000 in Brooklyn or Queens.

It reflects that there is a wide range of offers for New Yorkers when it comes to rental buildings.

When you aim to buy a property in NYC for living, prices remain higher. It would cost you $500,000 on the average price for a single family home.

Related Article: Apartment Utilities 101: Average Costs, Fees, & Bills

  • Cost of Utilities:

Regardless of the factor that you live in a rental or personal property, you would need to cover the utility cost. Utility cost includes your bill of electricity, water, garbage disposal. It usually costs $150 on average to settle these bills which are lower than the national average of $160. Renters may need to pay less as some of these facilities might be already added in monthly rent, especially hot water.

Note: The cost of the internet is not included in it which usually costs 60$ per month on average.

Read Also: Cost of Utilities in New York City

  • Commuting Cost in NYC:

You are done with rent and a utility bill, the next big bill is that of transportation. You would be required a lot of commuting between work and home. You would be managing it either of the two ways: private or public transport. If you own a car, it would add extra expense of maintenance and insurance. In addition to it, for personal car owners, parking bill is another significant cost.

By the standards, parking is quite expensive in NYC as compared to the rest of the states. Parking is likely to cost you more than $500 on average. Though the parking fee is less in cheaper boroughs, still it makes up a big chunk of your budget.

For public transport, you would not be worried about these additional rents. NYC’s public transport system is one of the best around the world. It would cost you between $110 and $130 if you opt for public transport.

  • Food Bills:

Dining out is a significant part of NYC culture. New Yorkers spend more money in restaurants than in other cities of the United States. It is not merely that they eat more out but the average cost of food is also more than the rest of the states. The good thing is you would find a complete range from expensive to less expensive restaurants from Manhattan to the Bronx. It would cost some $500 on groceries per person and average dining out.

  • Entertainment Budget in New York:

We have discussed all the essential expenses required to survive in NYC. If you are making a handsome amount already, you might still be left with some money. The most practical tip is to save that for rainy days.

However, entertainment is also something we need to stay in our senses. To be honest, it does not require that high budget. You may watch a movie for a mere $15 in NYC. In addition to cinema, sports are another big entertainment in NYC. It costs $80 for watching a single game of sports.

Why New York City Is Expensive?

If we look at the trends, we notice that NYC is quite expensive compared to the rest of the United States. Upon analysis, it has been observed that the cost of the property is too high and companies that sell the facilities such as food or maintenance services have to take into consideration those costs.

In addition to it, workers’ wages in NYC are more than in the other parts. It all ends up increasing the quality of life of New Yorkers and that is for what people in other parts envy of NYC.

Some General Tips:

  • Living in NYC involves a lot of technicalities such as the due process of finding a home or managing your bills. It would work in your favor if you hire a professional for this purpose. You would save more than what you would spend on it.
  • Managing all bills from the salary is quite tough and would keep your life stressful. Another befitting alternative is to get a mortgage and loan to make things smooth for you.

Final Word:

If you are looking to make a move to NYC, it is what it costs to live in NYC. You are most welcome in the city but come prepared.