$50K In Houston Equals $123K in NYC, Study Finds

A new report from the Center for an Urban Future (whose previous report, "Attack of the Chains," sparked a bidding war between Fox and Warner Bros.) confirms the obvious: the so-called middle class can no longer afford to live in New York and are relocating in large numbers to the exburbs or far-flung cities like Houston, where $50,000 a year gets you the same standard of living as a $123,322 salary does in Manhattan. Don't scoff; Space City has theater, opera, ballet, air-conditioned skywalks, a Holocaust Museum—even a lively local weblog, just like the one you enjoy here!

But if you're really determined to make a go of it here in New York, this report [PDF] is as sobering as it is unsurprising. Focusing on data primarily gathered before the economic deathspin went "full Bale," the study contends it's not just Manhattan that's cost-prohibitive to your average working stiff, but the boroughs as well: Queens is the fifth most expensive urban area in the U.S! Perhaps that's why twice as many New Yorkers relocated to Philadelphia ("the sixth borough!") in 2006 than in 2000. Or maybe they were just following orders from the Times Style section.

In all, 151,441 residents left the city in 2006, a 7% increase over 2002. (The overall population increased due to births and immigration.) And it's not just working class families; the number of New Yorkers with bachelor’s degrees who left the city rose to 29,370 in 2006, up 127% from a year earlier. The report says the problem is that while everything costs significantly more in NYC—home heating costs, for instance, have risen 125% in the past five years and are up 243% since 1998—wages have remained stagnant, even while Wall Street business was booming.

But Joe Salvo, director of the NYC Department of Planning’s population division, tells Crain's the study looked at too narrow a time period and didn't consider the people moving to New York. And speaking to reporters yesterday, Mayor Bloomberg seemed to shrug off the report, noting, "There is turnover all the time. That’s very healthy. We're doing fine." Then, perhaps realizing how that might sound coming from a gazillionaire, he added, "But it is very worrisome, the number of people who are losing their jobs."

Contact the author of this article or email tips@gothamist.com with further questions, comments or tips.

By John Del Signore in News on February 6, 2009 9:56 AM

Comments [rss]

maryjr

What is very interesting about this whole thread and also from my everyday observations is that anyone who loves living in a city outside of NY is generally not a native NYer.

Fernando

as a native Houstonian living in New York/Brooklyn for going on five years, I stand in equal footing for both cities. i went to high school in montrose and was completely submerged in the houston art world (which is actually one of the largest art scenes in the country). the food: super cheap and fantastic and you can eat any cuisine in the world just like here. the weather can can terribly hot, but honestly a hot summer beats the frigid winter for a multitude of reasons...anyways, it seems that the ignorants writing about houston have only been to the suburbs- its kind of like reviewing New York but writing about Jersey or CT; let's get it straight: both cities are extremely cosmopolitan (believe it or not Houston is the least segregated city in the US and has the third largest gay population in the US and is chock full of activities and festivals (Houston's got the second largest theatre district after New York in the US)

i could go on and on. I love New York. Alot. I love Houston. Alot.

inform yourself.

theninjaturtle

I live in Manhattan and make about 45K. I thought I was middle class until I read this! I'd feel like a crazy rich person if I made $125K, not middle class!

NannyState

Hold on, think about the cost of having a car in Manhattan vs. having one in Houston. That's the big metric driving this cost comparison. Otherwise, since many NY'ers don't have a car, the real issue is housing and we all knew that.

Lauren

Oh please! Houston is great (I'm a native and am still here) but those comparisons would more likely have you end up 30 miles outside of Houston proper, surrounded by strip malls and an hour drive to anywhere interesting mentioned..

SimonLok

Part of this is because NYC and NYS tax and fee the hell out of everything from housing, transportation, goods, payroll, etc. Texas doesn't even have a state income tax, but has most of the services (unless you are a welfare case - which in NYC are the only people beside the super wealthy who can afford to live here). We are screwed in NY be decades of corrupt and inept leadership and even during a time when things are falling apart, our local geniuses are busy raising taxes again, even as Obama tries to lower them to keep things afloat. Imagine keeping an extra 3rd of your income! I wish people would wake up and vote out all incumbents in this state!

texinyc

No income tax, but Texas has a comparable sales tax.

NYC 8.375% (.375% of that is for the MTA)

Texas 8.25% (In Houston)

Technically, you could say Texas' is actually higher.

blackpudding

I still think New York is a city to love. When i make it,i wouldnt mind spending money on a place in manhattan which is like the center of the world

blog by 2 Columbia Students:

http://theyounganddisenchanted.wordpress.com/

WestHouston.com

Houston rocks, the best place to live is in West Houston or Katy.

nyc_from_tx

Sure- I don't know the exact numbers but I heard it before. I'm sure there are a lot of great cities out there that has great theater and culture. The point is, Houston isn't has bad as people say it is here and indeed there are cultural things to see. They do get a lot of broadway shows that most cities don't which is a big deal if you like that stuff.

One thing I admit, downtown Houston becomes an absolute ghosttown once the workday/work week is over. It's sad for those of us who crave an urban space. My parents moved from the suburbs into the downtown lofts when everything was getting renovated, but it really can't measure up to a buzzing city like New York. It's a young sprawling city and needs to take its course. You move to houston for the space, the schools, the suburbs and good food.

There's a good video on you tube that captures Houston's culture. Of course you can't do all of this in a day as it implies because you still have to drive everywhere...

http://www.youtube.com/watch?v=s056tSc0zz8&feature=related

NannyState

I remember in the early Eighties when Houston was supposed to be the next Great World City. Kinda sucks what's happened since but it's a town that just keeps growin' and will someday stand with the best of them. Yahoo!

BingoPajama

It's called Enron. Take a lesson from history. NYC just lost Bear Stearns and Lehman Brothers. Merrill Lynch, Morgan Stanly, and Goldman Sachs are now banks. AIG is circling the drain and so is every major bank: BofA, Citi, Wamu, Wachovia and more...

Do you really think the music is just going to keep playing? Theater, indie, and restaurants are all just a side show to the money machine that just blew up. Sure there's magic in NYC it's called MONEY.

NannyState

Yeah, Enron hurt them but it really was the oil bust in 1983 that took the steam out of Houston. They had their own "Lost Decade" but it lasted 20 years. NYC may have the same future but unlike Houston, there's no alternative to NY. The money and the power have to be here regardless of the economy.

BingoPajama

It's called Enron. Take a lesson from history. NYC just lost Bear Stearns and Lehman Brothers. Merrill Lynch, Morgan Stanly, and Goldman Sachs are now banks. AIG is circling the drain and so is every major bank: BofA, Citi, Wamu, Wachovia and more...

Do you really think the music is just going to keep playing? Theater, indie, and restaurants are all just a side show to the money machine that just blew up. Sure there's magic in NYC it's called MONEY.

Tower18

Houston has the second largest Theater district outside of New York

Depending on your definition of "district", this could be claimed by a couple cities before Houston. Chicago likely has the best quality and quantity of good theater outside New York, and that doesn't count improv comedy. And Detroit wins in number of seats, with well over 20,000 seats in the downtown area, not including the casinos (vs. Houston's ~13,000).

nyc_from_tx

I've grown up in Houston all my life, but have been living in New York for the last 5 years and have loved it here. There's no question about it that there really is no place like New York city- but that's why you "sacrafice" the finances to live here. I have to say though that Houston in MUCH more diverse and cultured than most people here even know. It has gotten its compliments, but the truth is, unless you grew up in Houston, you're not going to appreciate it. Also unless you leave Houston for a city like New York, you're not going to appreciate its convienences. Houston has the second largest Theater district outside of New York. It has incredible museums, and amazing ethnic food. The chinatown, bellair houston area for asian food is ridiculous, and there's no place like seafood, cajun, tex-mex, and bbq like you have in houston. And of course there is good cheap eats all over houston. If live music is what you're looking for, Austin is only a 2 hour drive away for some of the best live bands in the country. Houston only lacks a really good nightlife area. Again though, Austin is only a short drive away, which is here I would actually recommend living.

All that said, I still love new york. Eventhough I lost my job here in such a terrible economic time, and my mom would love it if I moved back home and worked in Houston (because there actually are jobs there), I'm still hungry for a city like New York, and San Franscico and then be able to come home to a laid back open city like Houston.

my motto:

If you can make it in New York, you can make it anywhere...

ed_Extinct

houston sucks

Tower18

I just moved to New York after some years in Chicago, and at least from the "bang for the buck" perspective, I miss the shit out of Chicago. I got a raise to move out here, but man, not enough.

I lived well, had a 10 minute commute, and money to enjoy most of what non-self-absorbed people want to enjoy...but after moving to NYC and even after my raise, I'm only slightly above living paycheck to paycheck, with a 35 minute commute.

I like it here, but damn.

mdow

i'll be another voice to add that nothing compares to nyc. having lived in san francisco, atlanta, and new york on about the same (poor by new york standards, middle class by atlanta's) salary, new york gives you WAY more back in return on the positive/negative ratio. seriously, no comparison.