:max_bytes(150000):strip_icc()/GettyImages-2223908545-f7abf7bd51fd4cb5a78445380bff356f.jpg "The Cost Of Living In Big Cities Has Skyrocketed, But Co-Living Spaces Are A More Affordable Option")
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Key Takeaways
- Co-living offers a more affordable way to live in expensive cities by bundling rent, utilities, and amenities into one payment.
- Flexible lease terms and move-in-ready units make co-living especially appealing to students, young professionals, and people moving to a big city for the first time.
- The tradeoff is reduced privacy and less control over who your roommates are, which may not suit everyone.
Big-city living doesn’t have to bankrupt you, but you may have to give up some of your privacy to save some money on rent. Enter: co-living.
Co-living spaces are very different from traditional apartments, as these spaces are designed to accommodate large groups of people, according to Nathan Miller, founder of Rentec Direct.
“They’re often managed and operated by professional companies that bundle amenities like furnished rooms, utilities, cleaning services, and even community activities into one monthly rent payment,” said Miller.
For people who want to live in major cities—like Los Angeles, New York, and Chicago—and don’t have the budget to live on their own, a co-living space can be a good option—but only if you’re not shy about sharing a living space.
“This model has proven to be especially appealing to young professionals, digital nomads, students, remote workers, recent transplants, and others who may otherwise be priced out of competitive housing markets,” Miller said.
Here’s a look at some of the benefits and downsides of co-living spaces.
Rent Can Be Much More Affordable
With a co-living space, you pay for a fully furnished room and split utility and internet expenses with your roommates. A key appeal of co-living spaces is the affordable price. For example, a private basic room in Miami is available for just $845 per month on Fllat, a website that people can use to find co-living spaces in certain major cities.
In contrast, the average rent for a studio apartment in Miami is nearly $3,200, according to Zillow.
“From a financial standpoint, the savings can be significant. Reduced upfront costs, shared utility deposits, and limited long-term commitments lower the barrier to entry and help renters manage financial risk in an uncertain workforce market,” said Dave Chamberlin, president of Chamberlin + Associates, a real estate management company.
Flexible Leasing Terms
Flexibility can be another advantage of co-living spaces. You don’t have to get locked into a long-term lease.
“In cities like New York, Austin, and Boston, traditional renting models often come with high upfront costs, rigid lease terms, and isolating living experiences. Co-living flips that narrative by offering affordability through shared resources, shorter, more flexible lease options, fully furnished, move-in-ready units (and) built-in social and support networks,” said Mayank Pokharna, head of digital product and marketing for Fllat.
Porkhana notes that co-living spaces may be especially attractive to students and people who are experiencing career transitions and are planning to move to new city.
Community Environment
Built-in community is another aspect that makes co-living spaces appealing to people who want social interaction in their living space.
For example, someone moving to a new city may appreciate having company at home as they navigate a new city during the day. A remote worker may also prefer a more social environment as they work from a co-living space.
However, someone who prefers more privacy may not be a good fit in a co-living space, as some co-living spaces can have more than 10 bedrooms.
“The tradeoff compared to traditional renting often comes down to privacy and control,” Chamberlin said. “While many renters still prefer the independence of a conventional apartment, co-living is carving out a strong niche among those who value convenience, cost sharing, and curated community experiences over additional square footage.”
Plus, with co-living arrangements, you don’t have the ability to pick your roommates, so you could end up stuck sharing a co-living space with someone you don’t like or who leaves dirty dishes in the sink.
Examples of Co-Living Communities
- At Post in Chicago, co-living amenities include shared workspaces, a fitness center, an in-unit laundry, and a yoga studio. Rent begins at $1,155.
- At Haven in Los Angeles, amenities include an entertainment area and an outdoor lounge space. Rent starts at $995.
- At The Wyckoff Home in Brooklyn, co-living amenities include a stocked kitchen, on-site laundry, and Wi-Fi. Rent begins at $1,550 and there are 14 bedrooms available.
- The Roost in Seattle comes with small bed lofts, main-level workspaces, a meeting space, and a bike room. Rent starts at $940.
- In San Francisco, 1080 Folsom Residences from UrbaNests provides a 24-hour on-site building manager, shared kitchens and bathrooms, and Wi-Fi. Rent begins at $995.
The Bottom Line
A co-living space can be an affordable way to live in a city where living on your own may be too expensive. You’ll split expenses with roommates, have a built-in social network, and enjoy flexible leasing terms with lower rent and upfront costs.
But if you value your privacy, a co-living space may not be right for you even if it is affordable. Consider if you can handle the social aspects of co-living before you pack your bags and move in.
