Tips for Surviving a Rent Increase: Budgeting, Prioritizing Expenses, and More

The rising cost of rent in America is putting a strain on millions of renters, with a record number considered cost burdened. According to Apartments.com, the average rent in America is $1,517 monthly, and a recent report from Harvard’s Joint Center for Housing Studies found that 22.4 million renters were spending over 30% of their income on rent and utility bills in 2022.

As the rental market slows down, evictions are on the rise, leaving many struggling to keep up with rent hikes. So, how can you survive financially if you find out that your rent is increasing?

Financial experts suggest reviewing your budget to understand your income, expenses, and savings goals. This will help you identify areas where you can make adjustments to accommodate the higher rent payment. You may need to buy yourself some time by using emergency funds or picking up a side hustle to cover the increase temporarily.

Prioritizing expenses is crucial, with rent being a mandatory expense that should be high on your list. Look for opportunities to reduce discretionary spending, such as cutting back on dining out or entertainment subscriptions. Increasing your income through part-time jobs or side hustles can also help offset the higher rent payment.

It’s essential to evaluate your long-term financial goals and consider alternative housing options if necessary. This could involve exploring cheaper living arrangements or taking in a roommate to reduce expenses. By being proactive and making necessary adjustments, you can navigate through rent increases and maintain financial stability.