Holidays Create Financial Humbug For Miami Renters

CORAL GABLES, FL — By now those neat stacks of holiday gifts have given way to balled up wads of wrapping paper and bows strewn about your home with far less care than old St. Nick would have believed possible just a few days earlier. For Miami area renters, and elsewhere, the bills may be a bit more lasting than the holiday cheer, according to a new study by RentCafe. Miami is among 15 U.S. cities that require the most substantial savings to make it through the winter holidays.

"With the holiday season in full swing, tenants deal with not only paying the rent but with buying gifts, decorations, and festive dinners as well," RentCafe penned. "After all, 'tis the season to be jolly, but for renters, these extra holiday costs are a problematic addition to their monthly budget, as they typically have lower incomes than homeowners."

In addition to regular expenses, the average American renting family needs an additional $549 in savings just to offset holiday spending. In Miami, the holiday bills seem to add up higher than in many other parts of the country.

"With a negative balance of over $1,500, some renters here may have to opt for credit card kiting to get through the holiday season,"RentCafe concluded.

The results are based on data from the U.S. Census, Bureau of Labor Statistics, National Retail Federation and Yardi Matrix.

"We took into consideration the local household incomes, the average cost of living, holiday spending, and local rents," according to RentCafe. "What we discovered is that in 26 out of the 50 largest U.S. cities, tenants will either need savings or will have to go shopping this year with next year's money."

On average, an American family of four spends about 2.8 percent of their annual income on holiday expenses.

Renters in Jacksonville are among the minority who still have money left in the bank after paying the rent, buying gifts and decorations and covering other consumer expenditures. "At the end of the year renters here will still have $88 of their holiday season salaries, i.e. November's and December's combined," RentCafe said of the Jacksonville area.

Click here to read the full report.

Photo by Paul Scicchitano