30% is generally touted as a ball-park figure. Do any of you pay more than this? Do you think this figure is too high? I have been looking at some flats that would cost me 40% and wonder if I can afford to pay this. I am single, have no children or dependants, so I guess the figure could be higher. I dont want to buy for several reasons.

I pay 20%, i think it is more or less ok

40% sounds high, money spent on rent can't be spent on going out. If you're single, do you really want to spend all that money to stay in?

I'd say aim for a quarter, unless you are the type of person who prefers to have a really nice apartment and not go on fancy holidays instead. Even then, I wouldn't say more than a third, tops.

The standard budgeting figure is 25%, but it depends on your disposable income thereafter and how important your hut is to you.

0%. I bought my house.

Mortgage rather than rent: 17%

I can't answer because I put my apartment up here and my answer could give away my personal finances, but I'd say there is no figure - if your apartment is really important for you, go for it. There's no point in being depressed in a hole, when you bust your ass to earn money if you don't enjoy going out all that much. It's up to you.

I thought about that. But not knowing how much I paid for my house, how big my mortgage is, it'd be quite difficult to work out I'm on 650'000*CHF per year.

* Believe that, you'll believe anything

More than about 30% of your gross revenue will get the agent or owners wary about renting an appartement/house. Ditto for the banks, if the mortgage and estimated maintainence/renovation costs will more than about 30% of your gross revenue they will look very closely before granting a mortgage.

This is just a ball park figure, there are certainly exceptions, both ways out their.

^^ what he said. The banks' affordability calculation is based on 30% of gross income with a (compared to current) slightly inflated interest rate of 5 point something.

We pay 30% (with NK and 2 car parks) and feel fine with this amount. But, this is for a large maisonette with garden, for a family of 5, with guest room. If we where without kids, or I was single, I would put 20% into rent and focus into saving / enjoying singlehood. For us, with children and wanting a comfy place to live, 30% is perfectly fine. If we didn't have debt to pay we would have even considered more...

But this depends of course on what is important for you, what would you rather 'invest' into - it's economical, and decisions like this are normal. What would you rather have, left over money for outings/nightlife/savings or enjoy a good location, modern place, with ample space? Up to each one.

I have paid 40% before but that was to pay back the mortgage on the house. I wouldn't pay 40% of my salary to *rent* a place which will never be mine.

Kash.

37 of net
27 of gross.

All bills are included though (Swisscom ADSL, heating, water, electricity, billag, etc).

I agree. That 30% guideline must surely be related to total gross earnings in relation to the average living costs of the average person. eg: if on a very low salary, then I would be looking at wanting a rent well below the 30%, to have enough money left to survive on. If, on the other hand I was earening 650,000 as mentioned by "Not All There" I would be able to afford to survive more than nicely on the remaining two-thirds. (On the other hand though, I wouold not want to spend aaanywhere like 200,000 on rent anywhere, so the 30% would still not apply.)

It makes more sense to think of what you need/want in a place, check the general prices fot that in your area, check how much you need for personal outgoings, savings etc, then make a personal decision based on all that. Then throw the housewarming apero.....

I'd summarize it with this: If your rent is going to cramp your disposable income, going to limit your life in any way, going to limit your flexibility in decisions down the road, sooner or later you are going to stress out and hate the crib.

Better to take a look down the road and juggle your priorities appropriately because no principle can satisfy in reality and nobody else can tell you what you need and want, now or later.

Drat. I was hoping to see if you has more money than sense

1%. .........................

I pay around 35% of my wage on rent. Sounds like a fair bit, but when all is said and done, your apartment is the place where you come home to every night, shut the door, and escape from the world. To me its very important I live somewhere I'm comfortable, so I found somewhere I was happy with (3.5 rooms, next to sihl city) and paid the extra to get it. It was a good decision considering how hard it is to find something decent without paying a fortune at the moment.

What's it like living next to Sihl City? Is it good?

12% of gross, ~18% of net and I live in Zürich Enge.