Average Tech Salary vs. Rent in Top US Tech Hubs
Compare average tech salaries against 1-bedroom rent costs in the top 10 US tech hubs. San Francisco offers the highest salaries but also the steepest rents, while Austin and Denver provide the best salary-to-rent ratios.
Data
| # | Metro Area | Avg Tech Salary | Avg Monthly Rent | Salary-to-Rent Ratio |
|---|---|---|---|---|
| 1 | San Jose | $167,420 | $3,200 | 52.3x |
| 2 | San Francisco | $158,320 | $3,850 | 41.1x |
| 3 | Seattle | $145,000 | $2,975 | 48.7x |
| 4 | New York City | $135,000 | $3,500 | 38.6x |
| 5 | Boston | $125,000 | $2,890 | 43.3x |
| 6 | Los Angeles | $120,000 | $2,600 | 46.2x |
| 7 | Washington DC | $118,000 | $2,400 | 49.2x |
| 8 | Austin | $115,000 | $1,890 | 60.8x |
| 9 | Denver | $110,000 | $1,775 | 62.0x |
| 10 | Chicago | $105,000 | $1,950 | 53.8x |
Note: Where a Tech Salary Stretches Furthest on Rent
What the Data Shows
San Jose pays the highest average tech salary at $167,420, but it is Austin (60.8x) and Denver (62.0x) that offer the best salary-to-rent ratios in the ranking. San Francisco combines the second-highest salary ($158,320) with the steepest rent on the list ($3,850), dragging its ratio down to 41.1x.
- San Jose: $167,420 salary, $3,200 rent, ratio 52.3x.
- San Francisco: $158,320 salary, $3,850 rent, ratio 41.1x.
- Denver: $110,000 salary, $1,775 rent, ratio 62.0x, the best in the ranking.
- Chicago: $105,000 salary, $1,950 rent, ratio 53.8x, the lowest salary among the 10 hubs.
How to Read the Salary-to-Rent Ratio
The ratio divides average annual tech salary by average monthly rent. A 62x ratio means one month of rent costs about 1.6% of annual pay; a 41x ratio means rent eats a distinctly larger slice. In practice it answers a simple question: how many months of rent could one year of salary cover before any other spending? It is a back-of-envelope measure of housing affordability for a single renter.
Why San Francisco and San Jose Split
San Francisco has some of the highest rents in the country because of housing supply constraints, restrictive zoning, and decades of building shortfalls. San Jose pulls ahead in the ratio because its rents are lower while salaries stay at the very top, a reflection of the large company campuses of Silicon Valley firms in the South Bay. Both metros share the same tech boom, but rent divides them.
Why Austin and Denver Win on Ratio
Austin and Denver pay solid six-figure tech salaries, $115,000 and $110,000, while rents stay far below the coasts at $1,890 and $1,775. Both are classic tech migration stories: strong job growth, heavy new housing construction in recent years, and a cheaper overall cost structure than the Bay Area. That combination leaves renters with the most salary left over each month.
Rent Is Only Part of the Cost of Living
The ratio ignores taxes, food, transportation, and child care, which vary almost as much as rent. New York City and Los Angeles pair high rents with high taxes and dense transit costs that eat into the same paycheck, while Austin keeps more of every dollar. Remote work also blurs the picture: many tech workers now earn coastal salaries while living somewhere cheaper, effectively gaming the ratio in their favor.
Fun Facts
- Denver's 62.0x ratio is roughly 1.6 times New York City's 38.6x, the worst ratio among the big hubs.
- New York pays the 4th-highest salary but has the weakest ratio of the top five metros.
- San Francisco's $3,850 average rent is more than double Denver's $1,775.
- San Jose beats San Francisco on both salary and rent: $167,420 vs $158,320 and $3,200 vs $3,850.
- Austin's 60.8x beats New York's 38.6x despite an average salary $20,000 lower.
- Denver has the cheapest rent in the table at $1,775, with Austin second at $1,890.
- Washington DC (49.2x), Seattle (48.7x), and Boston (43.3x) form a tight middle band.