Wages may have ticked up in New York City over the past year, but rents have surged in comparison, a new study has found.

From 2022 to 2023, wages rose 1.2% across the five boroughs, but rents increased more than seven times faster, according to StreetEasy. 

The study analyzed Zillow and StreetEasy rental data, combined with data from the U.S. Bureau of Labor Statistics.

The economic trend is not just found in New York City: Since 2019, rents have grown faster than wages in 44 of the 50 largest metro areas, the report said. In 2023, rents grew faster than wages in approximately half of major metros, with NYC having the largest gap in the country.

Report author StreetEasy economist Kenny Lee, author of the report, said the solution to high demand for apartments and low inventory is building more housing. 

"Fortunately, inventory in NYC has been rising steadily. I think that can decrease the competitive pressure in the market,” Lee told NY1 in an interview. “Also what’s special about the markets in the U.S. where wages actually increased faster than rents, they built a lot of new apartments in their respective areas. I think that can make a huge difference in NYC, too. Long term, increasing the supply of affordable apartments can go a long way for the city's renters."

Lee also said the city's strong job market keeps attracting more people to live to the city, but that has also put pressure on the housing market and adding to the demand at a time when inventory is low.