CNN —

Individuals living solo are often aware that they incur higher housing costs compared to those who share rent with others. However, no city exemplifies this “singles tax” more starkly than New York City.

In the bustling metropolis, single residents face an average yearly expense that is $20,100 greater when choosing to live alone.

This information comes from an analysis conducted by real estate experts at StreetEasy and Zillow, which owns the former. They determined the extra financial burden faced by those opting for solo living in one-bedroom apartments, as opposed to sharing with a partner.

The analysis indicates that couples residing together in a one-bedroom unit in New York City can save an average of $40,200 annually on rent.

While other cities with high rental costs, such as San Francisco, San Jose, and Boston, also exhibit a significant singles tax, New York City remains the most expensive place to live alone.

Across the nation, the average annual savings for couples living together is approximately $15,123, which is notably over $25,000 less than the average in New York City.

“New York City attracts a vast number of young singles eager to live independently. The high demand for housing is a significant factor contributing to this financial disparity,” stated Emily McDonald, a rental trends analyst at Zillow.

“For many, living alone offers substantial value,” she added.

Among the boroughs of New York City, couples save the most money in Manhattan, where average one-bedroom rents reach around $4,200, according to the study.

The findings highlight the escalating rental costs in significant urban areas.

Nearly half of renter households in the United States are considered “cost-burdened,” as they spent over 30% of their income on housing in 2023, based on the latest available government data.

For those frustrated by the hefty expenses of living alone, Zillow has identified cities with the lowest singles tax. Detroit ranks highest on this list, with an average rent of just $813 and annual savings of $9,753 for couples living together, leading to a singles tax of $4,876. El Paso, Cincinnati, and Buffalo are other major cities where living solo is relatively more economical, according to Zillow’s findings.

As home prices have continued to rise and average mortgage rates hover around 7%, McDonald noted that more families are choosing to remain in the rental market longer, intensifying competition for rental properties.

Recently, however, rent increases across the country have begun to stabilize. A recent report from Zillow indicated that average rents in January grew by a mere 0.2%, a slight dip compared to the 0.3% growth seen during the same period before the pandemic. Additionally, more than 41% of landlords provided incentives to entice renters, marking a record high in Zillow’s database.

Still, McDonald advises individuals contemplating solo living to thoroughly assess their financial situation.

“In addition to rent, you’ll be responsible for utilities and internet on your own,” she cautioned. “Household necessities end up costing more when not shared.”