Moorestown Rent Too Pricey For Many Workers, Report Says

MOORESTOWN, NJ — Two people working full-time at minimum wage can barely afford a one-bedroom apartment in Moorestown, according to new data.

The National Low Income Housing Coalition released its annual report Wednesday on rental costs, showing that many Americans make less than their area's "housing wage" — the hourly, full-time wage needed to afford fair-market rent without spending more than 30 percent of their income.

New Jersey has one of the nation's highest minimum wages at $14.13 per hour, according to the NLIHC. But the state's market rate for a two-bedroom apartment totals $1,742 per month, which would require an hourly wage of $33.50 per hour ($69,675 per year) or 2.4 full-time, minimum-wage jobs. The state's mean renter wage of $24.40 per hour falls well short of the mark, with the average renter able to afford rent of $1,269.

Burlington County's housing wage is a bit lower — $28.27 per hour ($58,800 per year), or two full-time jobs at minimum wage to afford two-bedroom rent of $1,470 a month. But the county's mean renter wage of $22.13 per hour only allows the average renter to only afford monthly rent of $1,151 without spreading themselves thin.

Here are the average costs in Moorestown, according to the report:

• wage needed for one-bedroom housing: $26.15
• two-bedroom housing wage: $31.54
• fair-market rent for a one-bedroom home: $1,360
• fair-market rent for a two-bedroom home: $1,640

In New Jersey, 26 percent of tenant households make less than what's necessary to afford two-bedroom rent, according to the NLIHC. Even affording a "modest" one-bedroom apartment at the market rate requires 79 minimum-wage hours per week, the report says.

But many professions that typically make well-over minimum wage fall short of the "housing wage" of $27.85 necessary to afford a one-bedroom rental in New Jersey. Some of those professions include the following, the report states:

• nursing assistants: median wage of $19.05 in New Jersey
• office clerks: $21.65
• maintenance and repair workers: $23.97
• bookkeeping, accounting and auditing clerks: $25.09

The housing coalition contends that high rents combined with the end of pandemic-era benefit programs have exacerbated the financial insecurity of low-income renters. The organization called on federal officials to take action.

"To address the country’s long-term housing affordability crisis," said NLIHC President Diane Yentel, "Congress and the Biden-Harris administration must protect and expand our country's vital affordable housing and homelessness programs, and implement robust tenant protections."

The NLIHC says "(addressing) the roots of the housing affordability problem requires: a sustained commitment to investing in new affordable housing; preserving affordable rental homes that already exist; bridging the gap between incomes and rent through universal rental assistance; providing emergency assistance to stabilize renters when they experience financial shocks; and establishing strong renter protections."

View the NLIHC's full report: Out of Reach 2023: The High Cost of Housing.