PropFit · Calculators · 40× rent rule
The 40× rent rule: how much do you need to earn?
The 40× rule says your yearly income before tax should be at least 40 times the monthly rent. For a $3,000 apartment, you'd need $120,000 a year. If you use a guarantor, they usually need 80 times the rent: $240,000.
Updated November 4, 2026 · Estimates for illustration, not financial or legal advice.
The rule uses rent only. Fees on top of rent don't usually count toward it.
Income you need under the 40× rule
$120,000/yr
- Per month, before tax
- $10,000/mo
- Under a 3× monthly-income rule
- $108,000
- A guarantor, at 80×
- $240,000
What the 40× rule is
It's the income test most New York City landlords and management companies use before they'll approve a lease. You multiply the monthly rent by 40, and your yearly income before tax has to be at least that.
Income you need = monthly rent × 40
Turned around, the most rent you'll qualify for is your yearly income divided by 40. That's 30% of your gross monthly income, so the 40× rule and the 30% rule agree. The rent affordability calculator runs it that way.
40× or 3×?
Outside New York, including Orlando, the requirement is more often written as 3 times the monthly rent, per month. Three times a month is 36 times a year, so it's a little easier to meet: on a $3,000 apartment, 3× asks for $108,000 a year against $120,000 at 40×.
Guarantors and the 80× rule
If you don't meet 40× on your own, a landlord may accept a guarantor: someone who signs to cover the rent if you don't pay. Guarantors are usually held to a higher bar, often 80 times the monthly rent, and many landlords want them to live in the same state. Some renters use a paid guarantor service instead, which charges a fee and signs as the guarantor.
Income you need, by rent
| Monthly rent | 40× (yearly) | 3× monthly (yearly) | Guarantor at 80× |
|---|---|---|---|
| $1,500 | $60,000 | $54,000 | $120,000 |
| $1,800 | $72,000 | $64,800 | $144,000 |
| $2,000 | $80,000 | $72,000 | $160,000 |
| $2,200 | $88,000 | $79,200 | $176,000 |
| $2,500 | $100,000 | $90,000 | $200,000 |
| $2,800 | $112,000 | $100,800 | $224,000 |
| $3,000 | $120,000 | $108,000 | $240,000 |
| $3,500 | $140,000 | $126,000 | $280,000 |
| $4,000 | $160,000 | $144,000 | $320,000 |
| $4,500 | $180,000 | $162,000 | $360,000 |
| $5,000 | $200,000 | $180,000 | $400,000 |
| $6,000 | $240,000 | $216,000 | $480,000 |
What counts as income
Landlords usually ask for recent pay stubs, a letter from your employer, or your last tax returns if you're self-employed or freelance. Everyone on the lease is normally counted together.
Questions
Straight answers
Is the 40× rule based on gross or net income?
Gross. It uses your yearly income before tax.
How much do I need to make for a $3,000 apartment?
$120,000 a year under the 40× rule, or $108,000 under a 3× monthly-income rule. A guarantor at 80× would need $240,000.
Does the 40× rule apply outside New York City?
Some landlords use it anywhere, but outside New York the 3× monthly-income rule is more common. Each home sets its own requirement.
Is the 40× rule a law?
No. It's a landlord's policy, not a legal requirement. In New York, landlords also can't turn you down because part of your rent is paid by a housing voucher or other lawful source of income.
What if I don't make 40 times the rent?
Ask about a guarantor, look for homes that use the 3× rule, or bring the rent down. The rent affordability calculator shows the most rent your income supports.
More calculators
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PropFit is in early access in New York City and Orlando. Renters see where they stand against what each home asks for, before they apply.
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