By buying cheap apartment and house rentals in the coming year, you can expect to save around $50k.
This is according to a study from real estate agency Trulia, which analysed a list of properties available for sale in the United States and found that average price per square foot for a home with two bedrooms was $1,890, compared to an average price of $1.734 for a single-bedroom unit.
The cheapest home in the study was a two bedroom home in Los Angeles, which is available for $1 per square feet, while the most expensive was a three bedroom, four bathroom apartment in New York City, which was listed at $2,543 per square yard.
If you’re keen on a cheaper place to live, check out our guide to the cheapest places to buy a house in the US.
You’ll need to spend around $1m on your home if you want to rent an apartment, which means you’ll need at least $500,000 in cash.
Buying a home in Australia will cost you $2.5m if you’re buying in the region of Sydney and $3m if buying in Melbourne.
If all goes well, you should have around $30,000 saved by the time you retire, Trulia found.
But, be warned: not all apartments are created equal.
There are certain apartments in Sydney and Melbourne that are ideal for those who are looking to save money, while others might be ideal for retirees.
While it’s best to get the best price you can, Trululia recommends checking with local property agents to see what other apartments might be more suitable for you.