Rentals are too pricey for new graduates
- Source: Global Times
- [09:55 July 12 2010]
- Comments
A man stands by several apartment rental listings that were posted last week at a local real estate agency. Photo: IC
By Chen Xiaoru
Soaring rental prices in the city are making it difficult for new graduates to find a place to live this year, according to a report released last week by International Finance News.
Housing rentals in general have increased by 0.5 percent last month compared with the previous month, and 1 bedroom rentals, favored by fresh graduates, have risen by 0.73 percent, according to the figures printed by City Second-hand Housing Index Office, a commercial entity that monitors housing prices around the city.
Local real estate agent Hu Jiulong said that rental prices have been climbing significantly in recent months.
"Most home owners are charging an additional 200 yuan ($29.53) this month," the man who works in Putuo district told the Global Times Sunday.
Wang Caili, who just graduated with a master's degree from Shanghai International Studies University, said that she was having trouble finding something affordable in the city.
"I've spent several weeks looking for a reasonably priced apartment, but even the really old and shabby ones near subway lines cost more than 2,000 yuan ($295.33) a month," she told the Global Times Sunday.
"I might think about leaving Shanghai and moving to a second-tier city, where rent is more reasonable," she added. "I just don't earn enough to make ends meet with these rental prices."
According to City Second-hand Housing Index Office, the rent increases can be blamed on the swelling demand from new graduates, and the housing policy started two months ago, which has effectively drawn more potential home buyers to the rental market, driving up prices.
In order to get around high prices, Guan Xianghui, a graduate from the University of Shanghai for Science and Technology, said that he rents a 10-square-meter room in Songjiang district for 700 yuan ($103.37) a month. The smallest room in the house that his flat mate rents is some 5 square meters and goes for 300 yuan ($44.30) per month.
"It's a small space and really far from work, but it's the only thing I can really afford," he added.
"If I were to rent somewhere closer to the city, I would have to spend at least half my salary on rent."
