HUD fiscal 2027 Fair Market Rents (in effect October 1, 2026) · Census 2024 population · state minimum wage rates · Last updated October 1, 2026
There’s no state where a full-time minimum wage job covers a one-bedroom apartment. If rent is kept to 30% of pay, a minimum wage worker needs at least 53 hours of work a week, in Missouri or Nebraska. In New Hampshire it takes 165 hours a week, out of the 168 hours there are. In 16 states it takes more than 100.
Key findings
- Nowhere is 40 hours enough. The lowest is 53.1 hours a week, in Missouri and Nebraska (both $15.00).
- New Hampshire needs the most: 165.1 hours a week. A one-bedroom there is $1,556 a month, and the minimum wage is $7.25.
- In New Hampshire, Georgia and North Carolina, a full month of full-time minimum wage pay doesn’t cover the rent, even before taxes and before the 30% rule. In Pennsylvania it about equals it.
- 16 states need more than 100 hours a week. Fifteen of them use the federal $7.25. The other one is Massachusetts. Its $15 minimum needs 107 hours a week, against a $2,087 one-bedroom.
- The pay needed to afford a one-bedroom on 40 hours is highest in D.C. ($42.38 an hour), California ($41.37), New York ($40.77) and Massachusetts ($40.13).
- Virginia and Michigan gain the most from their raises. Virginia’s hours needed fall from 96.2 to 89.3 a week, and Michigan’s from 61.7 to 56.5.
- In four states, rent is rising faster than the 2027 raise: Rhode Island (rent up 7.6%, wage up 6.2%), Nebraska (6.5% vs. 1.7%), Ohio (4.8% vs. 3.6%) and Maine (4.6% vs. 4.0%).
- Some states with no raise saw big rent increases: Illinois up 10.7% and Missouri up 10.3% (both $15, no raise scheduled), Alabama up 9.2% and Kansas up 9.1% (both $7.25).
Hours of work needed for a one-bedroom
Here’s how the math works in California. A one-bedroom at Fair Market Rent costs $2,151 a month. At $16.90 an hour, that’s 127 hours of work just for the rent. To keep rent at 30% of pay, a worker would need to earn $41.37 an hour, or work 98 hours a week at the minimum.
Do the 2027 raises help?
A little. In the 13 states with a known January 1 rate, the hours needed drop by less than 1 hour a week (Nebraska) to about 7 (Virginia, from 96.2 to 89.3). But in Rhode Island, Nebraska, Ohio and Maine, this year’s rent increase is bigger than next year’s raise.
All 50 states and D.C.
Click a column heading to sort. “Hours a week needed” is how many hours at minimum wage it takes so rent is no more than 30% of pay.
| State | One-bedroom Fair Market Rent, fiscal 2027 | Change from fiscal 2026 | Minimum wage today | Hours a week needed today | Hours of work for one month’s rent | Minimum wage Jan. 1, 2027 | Hours a week needed in 2027 | Pay needed on 40 hours |
|---|---|---|---|---|---|---|---|---|
| New Hampshire | $1,556 | -0.8% | $7.25 | 165.1 | 215 | $7.25 | 165.1 | $29.92 |
| Georgia | $1,374 | -0.9% | $7.25 | 145.8 | 190 | $7.25 | 145.8 | $26.42 |
| North Carolina | $1,282 | +4.4% | $7.25 | 136.0 | 177 | $7.25 | 136.0 | $24.65 |
| Pennsylvania | $1,257 | +3.5% | $7.25 | 133.4 | 173 | $7.25 | 133.4 | $24.17 |
| Texas | $1,247 | -2.4% | $7.25 | 132.3 | 172 | $7.25 | 132.3 | $23.98 |
| South Carolina | $1,243 | +4.4% | $7.25 | 131.9 | 171 | $7.25 | 131.9 | $23.90 |
| Utah | $1,231 | -4.6% | $7.25 | 130.6 | 170 | $7.25 | 130.6 | $23.67 |
| Tennessee | $1,196 | +3.9% | $7.25 | 126.9 | 165 | $7.25 | 126.9 | $23.00 |
| Idaho | $1,132 | -2.0% | $7.25 | 120.1 | 156 | $7.25 | 120.1 | $21.77 |
| Indiana | $1,082 | +5.8% | $7.25 | 114.8 | 149 | $7.25 | 114.8 | $20.81 |
| Wisconsin | $1,020 | +0.2% | $7.25 | 108.2 | 141 | $7.25 | 108.2 | $19.62 |
| Alabama | $1,010 | +9.2% | $7.25 | 107.2 | 139 | $7.25 | 107.2 | $19.42 |
| Massachusetts | $2,087 | +2.5% | $15.00 | 107.0 | 139 | $15.00 | 107.0 | $40.13 |
| Kansas | $1,004 | +9.1% | $7.25 | 106.5 | 138 | $7.25 | 106.5 | $19.31 |
| Louisiana | $973 | +3.0% | $7.25 | 103.2 | 134 | $7.25 | 103.2 | $18.71 |
| Kentucky | $946 | +5.2% | $7.25 | 100.4 | 130 | $7.25 | 100.4 | $18.19 |
| Mississippi | $928 | +5.4% | $7.25 | 98.5 | 128 | $7.25 | 98.5 | $17.85 |
| California | $2,151 | -1.1% | $16.90 | 97.9 | 127 | $17.40 | 95.1 | $41.37 |
| Oklahoma | $914 | +1.1% | $7.25 | 97.0 | 126 | $7.25 | 97.0 | $17.58 |
| North Dakota | $911 | +1.8% | $7.25 | 96.7 | 126 | $7.25 | 96.7 | $17.52 |
| Virginia | $1,596 | +4.4% | $12.77 | 96.1 | 125 | $13.75 | 89.3 | $30.69 |
| New York | $2,120 | +1.4% | $17.00 | 95.9 | 125 | Pending | — | $40.77 |
| Iowa | $902 | +1.6% | $7.25 | 95.7 | 124 | $7.25 | 95.7 | $17.35 |
| Maryland | $1,801 | +7.6% | $15.00 | 92.4 | 120 | $15.00 | 92.4 | $34.63 |
| District of Columbia | $2,204 | +9.4% | $18.40 | 92.1 | 120 | $18.40 | 92.1 | $42.38 |
| Wyoming | $865 | +2.0% | $7.25 | 91.8 | 119 | $7.25 | 91.8 | $16.63 |
| New Jersey | $1,891 | +1.9% | $15.92 | 91.4 | 119 | $16.48 | 88.3 | $36.37 |
| Hawaii | $1,895 | -2.5% | $16.00 | 91.1 | 118 | $16.00 | 91.1 | $36.44 |
| Nevada | $1,397 | -3.0% | $12.00 | 89.6 | 116 | $12.00 | 89.6 | $26.87 |
| Montana | $1,223 | +0.9% | $10.85 | 86.7 | 113 | Pending | — | $23.52 |
| Florida | $1,665 | +2.3% | $15.00 | 85.4 | 111 | $15.00 | 85.4 | $32.02 |
| Minnesota | $1,231 | +2.2% | $11.41 | 83.0 | 108 | $11.87 | 79.8 | $23.67 |
| Colorado | $1,606 | +3.3% | $15.16 | 81.5 | 106 | $15.71 | 78.6 | $30.88 |
| Washington | $1,701 | +1.5% | $17.13 | 76.4 | 99 | $17.73 | 73.8 | $32.71 |
| Illinois | $1,489 | +10.7% | $15.00 | 76.4 | 99 | $15.00 | 76.4 | $28.63 |
| Vermont | $1,431 | +10.6% | $14.42 | 76.3 | 99 | Pending | — | $27.52 |
| Connecticut | $1,670 | +1.4% | $16.94 | 75.8 | 99 | $17.48 | 73.5 | $32.12 |
| West Virginia | $840 | +4.3% | $8.75 | 73.8 | 96 | $8.75 | 73.8 | $16.15 |
| Rhode Island | $1,528 | +7.6% | $16.00 | 73.5 | 96 | $17.00 | 69.1 | $29.38 |
| Delaware | $1,407 | +4.9% | $15.00 | 72.2 | 94 | $15.00 | 72.2 | $27.06 |
| Ohio | $1,027 | +4.8% | $11.00 | 71.8 | 93 | $11.40 | 69.3 | $19.75 |
| Maine | $1,362 | +4.6% | $15.10 | 69.4 | 90 | $15.70 | 66.7 | $26.19 |
| Oregon | $1,397 | -1.6% | $15.55 | 69.1 | 90 | $15.55 | 69.1 | $26.87 |
| Arizona | $1,361 | -5.3% | $15.15 | 69.1 | 90 | $15.65 expected | 66.9 | $26.17 |
| New Mexico | $1,051 | -1.6% | $12.00 | 67.4 | 88 | $12.00 | 67.4 | $20.21 |
| Alaska | $1,187 | -2.2% | $14.00 | 65.2 | 85 | $14.00 | 65.2 | $22.83 |
| South Dakota | $958 | +9.1% | $11.85 | 62.2 | 81 | Pending | — | $18.42 |
| Michigan | $1,101 | +4.3% | $13.73 | 61.7 | 80 | $15.00 | 56.5 | $21.17 |
| Arkansas | $873 | +0.1% | $11.00 | 61.0 | 79 | $11.00 | 61.0 | $16.79 |
| Nebraska | $1,036 | +6.5% | $15.00 | 53.1 | 69 | $15.26 | 52.2 | $19.92 |
| Missouri | $1,035 | +10.3% | $15.00 | 53.1 | 69 | $15.00 | 53.1 | $19.90 |
Pending: Montana, South Dakota, Vermont and New York haven’t announced their January 1, 2027 rates. Nebraska’s $15.26 is the state labor department’s official rate, and Arizona’s comes from news reports. Alaska goes to $15.00 on July 1, 2027, which would cut its hours needed to 60.9. See the 2027 minimum wage by state for every rate and its status.
What this means for your business
- Your workers’ rent is part of your hiring problem. Where rent takes 90 or more hours a week at the minimum, many workers need a second job, a roommate or a long commute. That shows up as turnover and no-shows.
- The “pay needed on 40 hours” column is a rough benchmark for what it takes for one full-time worker to live alone near your business. Few small businesses can pay it, but it shows how far the minimum is from that bar.
- Look at the jobs you’re hiring for. Our service wages vs. rent study compares typical pay for cooks, cashiers, cleaners and other jobs with two-bedroom rents. The metro version goes city by city. For parents, see rent vs. daycare prices.
- Planning payroll? See typical wages by state.
More from our 2027 minimum wage research
- 2027 minimum wage by state: every state's rate on January 1, 2027
- Minimum wage vs. rent by state (this page)
- 2027 minimum wage vs. what workers earn: which jobs the new rates reach
- What the 2027 raises cost a small business: extra payroll for a 10-person team
- Minimum wage gaps between neighboring states: border pairs like Washington and Idaho
- Real minimum wage by state: what the minimum buys after local prices
Cite or share this data
Reporters, researchers and housing groups are welcome to use the table and charts. Please credit and link to this page.
Source: StartBusinessByState.com analysis of HUD fiscal 2027 Fair Market Rents and state minimum wages (October 1, 2026). https://startbusinessbystate.com/minimum-wage-vs-rent-by-state/
Methods and caveats
- Rent. HUD fiscal year 2027 Fair Market Rents for a one-bedroom unit, from HUD’s API, in effect October 1, 2026. Fair Market Rent includes basic utilities and is set at the 40th percentile of recent rents. It is not an average asking rent.
- State figure. HUD sets rents by county or metro area (by town in New England). We averaged them for each state, weighting each county or town by its population (Census American Community Survey 2020 to 2024). Seven small towns or counties had no population match and were left out (Massachusetts 4, Maine 2, Missouri 1).
- Rent change. Fiscal 2026 to 2027 with the same method. Part of a change can come from HUD updating its methods or area boundaries, not just rents. Vermont (up 10.6%) and Illinois (up 10.7%) are big jumps.
- Hours needed = one-bedroom rent × 12 ÷ 30% ÷ 52 weeks ÷ the minimum wage. “Pay needed on 40 hours” uses 2,080 hours a year.
- Minimum wages are statewide rates from our 2027 minimum wage tracker. Local minimum wages, which are higher in many cities, are not included. Pay is before taxes.
FAQ
What is a Fair Market Rent?
It is HUD’s estimate of what a typical modest apartment rents for in an area, including utilities. It is set at the 40th percentile, so about 40% of recently rented units cost less. HUD uses it for housing vouchers. It is not an asking-rent average.
Why 30% of income?
Spending no more than 30% of gross pay on housing is the standard affordability rule used by HUD and most housing research. Above that, a household is called cost-burdened.
What is the housing wage?
The hourly pay a full-time worker (40 hours a week) needs so a one-bedroom at Fair Market Rent takes no more than 30% of pay. In California it is $41.37 an hour.
Which state is most affordable for a minimum wage worker?
Missouri and Nebraska, where a worker at the $15 minimum needs about 53 hours a week. Even there it takes more than a full-time job.
Why do the rent numbers differ from other reports?
We use HUD’s fiscal 2027 one-bedroom Fair Market Rents, which took effect October 1, 2026, and weight each county or town by its population. Reports that use two-bedroom rents or different years will show higher or different numbers.
Can I use these numbers?
Yes. Please credit StartBusinessByState.com and link to this page. The full table is free to download as a CSV.