The rising cost of living in the United States — especially sky-high housing expenses — is forcing many Indian IT professionals to rethink the once-coveted move abroad. For Chartered Accountant Nitin Kaushik, the math just isn’t adding up anymore. “It’s more investment and less returns when someone wants to migrate to the US. That thing is not for everyone,” he says, highlighting a growing shift in perception among aspiring migrants.
At the heart of this change is the steep cost of renting a home. Financial analyst Sourav Dutta breaks it down: “Average rent is $2,000 in America and you’re supposed to make 3x the rent, which is $6,000 a month — that’s $72,000 a year. But the average US salary is just $51,000. Average Americans can’t rent an average house.”
The numbers back him up. Zillow’s December 2024 data shows average rents for single-family homes hitting $2,174, while multifamily units hovered around $1,812. In tech-heavy metros like San Francisco and New York, prices are even higher — making it particularly tough for Indian professionals who typically land in these cities.
Other essentials — from healthcare to childcare — add more pressure to the monthly budget. And with the construction of new apartments slowing down, supply is tight and prices continue to surge. Trade tariffs on materials from Canada and China have made building more expensive, discouraging developers and pushing more people into an already saturated rental market.
Even for those coming in through the H-1B visa program — a common pathway for Indian techies — the mandated minimum salary of $60,000 often falls short of what’s needed to cover basic living costs in major US cities.
While the American dream dims, financial planning back home isn’t getting easier either. Kaushik cautions Indian homebuyers to carefully weigh costs like stamp duty, maintenance, and long-term obligations before investing in property. “These are big commitments. Don’t just look at the emotional side — do the math,” he says.
In short, the economic landscape in the US — shaped by inflation, housing shortages, and wage disparities — is prompting a rethink. For many Indian professionals, the promise of better pay and a better life overseas now comes with far more caveats than before.