Housing costs fuel millennials’ financial insecurity

affordable housing in major metropolitan areas is a significant issue for young adults. The listing service RentCafe recently looked at the rent that millennials paid — adjusted to 2017 dollars — from the time they turned 22 until the age of 30. During this period, they spent $92,600 in rent, a whopping 45 percent of their income.

Many experts recommend limiting your housing costs to no more than 30 percent of your gross income. But 20.8 million renters in 2016 were paying more than that, which creates a burden, according to Harvard University’s Joint Center for Housing Studies.

When you’re spending a high percentage of your earnings on housing, it doesn’t leave much room for essentials. And most important, it hinders your ability to save.

Using Issa’s housing dilemma, “Insecure” has some good money lessons for millennials:

• Don’t be embarrassed to ask for help: Issa tucked her pride in her purse and moved in with her ex.

• Generate multiple streams of income: In addition to working full time for an education nonprofit, Issa joins the gig economy by driving for Lyft. Drivers for this ride-sharing company have average earnings — before expenses — of about $17.37 per hour, according to a survey by the Rideshare Guy blog.

• Get help from the right people: Issa again humbles herself and gets financial advice from her friend Kelli, an accountant.

On Kelli’s computer screen, we see Issa’s credit score. It’s 425.

Kelli tells Issa that there is no way to get around the credit issue and qualify for an apartment unless she puts down three or four months’ rent “if she’s been saving,” or get a co-signer for the lease.

“Not me,” Kelli quickly says before Issa can even ask. Here again, good advice. Never co-sign for anybody!

Issa claims she’s doing everything she can to improve her financial situation, but we learn that she is still eating out a lot and otherwise indulging herself.

“Look, long term, I can set you up with a credit counselor here and I can help you plan out a budget,” Kelli says. “But right now, you don’t have enough money to move out on your own.”

Live your financial truth: Issa finally gets it. Save or live on some dude’s sofa indefinitely.