Priced out

Austin named one of the least affordable cities in U.S. for minimum-wage renters

Austin among least affordable U.S. cities for minimum-wage renters

paying rent, moving, paying bills, renter
Not so easy when you're making $7.25 an hour. Getty Images

If you’re a minimum-wage worker who’s hunting for an apartment in Austin, you might be out of luck in terms of affordable options.

The Capital City recently made a new GOBankingRates list of the 15 least affordable U.S. cities for minimum-wage renters.

The U.S. and Texas minimum wages are $7.25 an hour. In Austin, someone earning minimum wage would need to work at least 198.68 hours to pay the monthly rent for the typical one-bedroom apartment, according to GOBankingRates.

Four other Texas cities made the list of the least affordable places for minimum-wage renters, all in the Dallas-Fort Worth metro area: Plano ranked third for the number of work hours needed to afford a one-bedroom rent, while Irving came in at at No. 9, Dallas at No. 11, and Fort Worth at No. 15.

While those four DFW cities didn’t fare well, the numbers for Austin are even worse. Based on an average 2022 one-bedroom apartment rent of $1,440.00 and an hourly rate of $27.70 needed to get that apartment, Austin ranked second for the number of work hours needed to afford a one-bedroom apartment.

“A bustling cultural hub, the capital city of Texas has become another city where the cost of living has far outpaced the wages — thanks in part to the $7.25 minimum wage,” GOBankingRates notes.

Ahead of Austin on the list of least affordable places for minimum-wage-earning renters was Atlanta, where 213.16 work hours are needed to afford a one-bedroom apartment, according to GOBankingRates.