With rent prices across America reaching historic highs, Caleb Simpson, a personality on TikTok, has found an audience by approaching strangers to ask, “How much do you pay for rent?” and “Can I have a tour of your apartment?” Simpson has since expanded his videos to other cities, and it’s becoming a guide itself.
Creating an informal reference for apartment rentals that has garnered a mainly Gen Z and millennial audience. The videos, which often reveal micro-apartments with high rents, have struck a chord with viewers who either feel grateful that they pay less or inspired to make their small apartments work. He’s definitely making a hit on TikTok.
Find out how much to pay for rent thanks to these TikTok videos
Rent prices have skyrocketed, rising by 12.2% in 2022 for new renters, with another 2.1% increase this year, while wages have remained stagnant. In the New York City area, for instance, the average rent for a one-bedroom apartment is $2,170, which is a 39% increase compared to five years ago. Similarly, in Los Angeles and the San Francisco area, rent prices have increased by 36% and 7%, respectively.
According to David Dworkin, president and CEO of the National Housing Conference, the United States is 3.8 million housing units short to keep pace with the need, which has caused rents to rise to historic levels throughout the nation. The situation has severe implications, such as forcing renters to downsize to smaller apartments, spend less money, have less disposable income, and have more stress.
The Tiktokers are raving for these alarming videos that reveal the silent housing crisis in the United States
Simpson did not initially set out to comment on the real estate or rental markets. Instead, he wanted to showcase uniquely human stories. But as his videos went viral, amassing 7 million followers on TikTok and another million on Instagram, about one out of 10 people he approached agreed to give him a tour of their apartment.
An apartment is a window into a personal life, said Simpson, adding that people are private, and an apartment is an intimate part of someone. While some viewers question the authenticity of Simpson’s videos, his earlier ones were entirely spontaneous and real.
About 54% of millennial and Gen Z renters, or roughly 24 million out of 44 million households that rent in the U.S., are affected by rising rent prices. The situation is most severe for Gen Z renters, who are just entering the rental market. The videos serve almost as an emotional affirmation, providing a rare window into peers’ realities and how it lines up against one’s own.
The increases in the rent values are hitting the youngsters’ budgets as they can’t afford housing
It’s been a tough few years for renters across the country. From 2017 to 2022, the average year-over-year increase in rent was 5.77%, with the biggest jump happening from 2021 to 2022 at a staggering 14.07%. It’s clear that nearly every part of the country has been impacted, but some states have certainly felt the pinch more than others.
Unfortunately, the trend continued into the first half of 2022. New tenants saw an average percentage change in rent of 12.2%, which can be a real blow to anyone looking to find a new home. Even for those who have been in the same place for a while, a lease renewal in the last 6 months resulted in an average increase of 3.5%.