What it costs to live in New York City (New York-Newark-Jersey City, NY-NJ): what HUD considers a fair rent by number of bedrooms, the median household income of the metro area@if ($m['local_income_tax']) and the local income tax@endif, from official sources.
| New York City | Source | |
|---|---|---|
| Population of the metro area | 20,112,448 (2025) | US Census Bureau, Metropolitan and Micropolitan Statistical Areas Population Totals: 2020-2025 (Vintage 2025, cbsa-est2025-alldata.csv) |
| Fair market rent, studio | $2,529 a month | HUD User, FY2026 Fair Market Rents, revised (FY26_FMRs_revised.xlsx) |
| Fair market rent, 1 bedroom | $2,655 a month | |
| Fair market rent, 2 bedrooms | $2,910 a month | |
| Fair market rent, 3 bedrooms | $3,644 a month | |
| Median household income | $99,852 a year (2024) | US Census Bureau, American Community Survey 2024 1-year, table B19013 Median household income (summary file) |
| Local income tax | 3.078% to 3.876% | New York State Department of Taxation and Finance, Instructions for Form IT-201 (2025), New York City tax rate schedule |
HUD's fair market rents (FY2026, area: New York, NY HUD Metro FMR Area) are set at about the 40th percentile of what recent movers pay for a standard home, including utilities. Many listings ask more, so treat them as a floor for a budget, not an average.
How much of a typical income does rent take?
A one-bedroom at the fair market rent costs $31,860 a year, 32 % of the metro's median household income; a two-bedroom takes 35 %. The usual rule of thumb is to keep rent at or below 30 % of gross income: for a two-bedroom here that means about $116,400 a year before tax.
Local income tax
New York City residents pay a city income tax on top of the state tax; for single filers 3.078% on the first 12,000 of city taxable income, rising to 3.876% above 50,000. People who work in the city but live elsewhere do not pay it.
Taxes in these states
- New York: minimum wage, income tax and sales tax
- New Jersey: minimum wage, income tax and sales tax
- Take-home pay after federal and state tax
Sources
- US Census Bureau, Metropolitan and Micropolitan Statistical Areas Population Totals: 2020-2025 (Vintage 2025, cbsa-est2025-alldata.csv) (2026-10-12)
- HUD User, FY2026 Fair Market Rents, revised (FY26_FMRs_revised.xlsx) (2026-10-12)
- US Census Bureau, American Community Survey 2024 1-year, table B19013 Median household income (summary file) (2026-10-12)
- New York State Department of Taxation and Finance, Instructions for Form IT-201 (2025), New York City tax rate schedule (2026-10-12)