Rent in Sillicon Valley. How much is too much? Who still has roommates?5d
Everyone is complaining about how expensive rent is in Silicon Valley (not talking about San Francisco) and how you need a roommate or 2 to survive. I'm from a large city and currently pay $2300+ for a one bedroom. Expensive, I guess, but I like amenities. I dont make even close to some of the TCs posted on here, have student loans, and still save and have a fun travel-lust life. Are yall just banking every single penny and eating Ramen Noodles on a $100-200k plus salary for the future or are you driving sports cars or something and dropping stacks at the club? What am I missing?
A privileged minority, non millennial
Planning a move this winter.
- Pinterest Lorhk96OP, you’re missing a lot. Taxes, mortgage, childcare, retirement, cost of living, they all add up quickly. $2300 buys you great amenities, i.e. the laundromat two blocks away for a studio. Life hits you pretty quickly and you’ll see how little a $200k base salary gets you. Consider then how these high TCs are temporary, and from paper money for some. They’ll drop them all on a down payment for a 2-3M house, suddenly get a 5K+ mortgage, and become house poor. Meanwhile, the 4 year grant expires, and they line up the networking events to get back to the same TC they once had... on daily basis, they live off crummy base salary with two kids, a dog, and a partner who’s not working yet.
- That $3M house has just the basics for a family of 4, and comes with a $35k/year property tax. The neighborhood private kinder-garden is another $20k/year/kid, in post tax money. We’re all working class, having to balance the same old paychecks. We haven’t struck the California gold, living a baller life 😂.
- I humbly call myself working class in a modern economy. In fact, we spend all these money on dwellings that were built for the working class of the day. You can also look at the income statistics for the Bay Area, and California in general, and position yourself in the income bucket. You’ll see a growing (upper) middle class made of professionals, what I call the working class of today.
- Apple applparkI strongly agree with that. Despite the high numbers we see for TC many if not most of us really are living a quality of life not much better than the blue collar workers a generation back who used to reside in the same houses we live in now. Except those houses were a lot newer back when those people first bought them. I strongly suspect that we may even be worse off considering that we have to carry much higher mortgage debts relative to our incomes which comes with a lot of stress. Also most of the young people I know in tech still live in not so nice apartments often with roommates, which seems not so different from the way a lot of working class youth live in most other cities. When you have two parents working to barely afford a fifty year old little shack, I don’t know what else to call that other than working class life.5d1
- TC is about $150k. I have a roommate and we live in a luxury complex with all the amenities and washer and dryer in-unit and such. 2 bed / 2 bath, ~1200sq ft. We pay $3200 combined so like $1600/ea. A 1-bedroom in the same complex goes for $2700+. So we’re saving over $1,000 / month each by living together vs having our own places.
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- Oracle fatalflawRent is about 40-50% of after-tax income for many. Newer mortgages are higher. They are lower for those who bought years ago at half of current prices or dropped huge down payments. You can live comfortably for that much if you focus on your needs and wants and not those of your friends and neighbors.