A few months ago, a news item spread saying that the “average renter” or “minimum wage renter” cannot afford a one bedroom apartment.
But that is not what the study actually said.
The study picked a price point equal to the 40th percentile of rental unit price distributions. In general, those earning a single minimum wage income are usually not able to afford a one bedroom apartment at the 40th percentile. They can afford lower cost units in the market below the 40th percentile – in other words, they can rent units in the lower 40% of the market.
I have updated the original blog post to incorporate this new information.
And an update to our update – a link to yet another example of how CBS News merely parroted the press release propaganda. Reporters did not read the study to understand the nuance of what the study actually said versus what was written in the propaganda press release. The news media is just one link in the chain of an effective propaganda operation. (The editor of a local paper once referred to such reporting as “stenography reporting” and called it bogus. But those are the old days now!)
Update November 2018
Another study notes that San Francisco, judged one of the most expensive cities in the country, is 2nd best rental prices when taking into account the high median income.