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The True Costs of Working From Home

Remote workers spend more on rent and housing costs than those who stay in the office — a gap that might add up to $15 billion or more if commuters don’t return. 

A nearly deserted office building in Midtown Manhattan in January. Work-from-home habits that have emptied downtowns could also be adding housing costs for employees, according to new research. 

A nearly deserted office building in Midtown Manhattan in January. Work-from-home habits that have emptied downtowns could also be adding housing costs for employees, according to new research. 

Photographer: Timothy A. Clary/AFP via Getty Images

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A Craigslist search for one-bedroom apartments in San Francisco pulls up a post for a work-from-home special: a NoPa flat for $1,200 a month. But the sunny studio unit is “day-use only” — the target tenant is someone doing remote jobs from home who wants a whole other apartment dedicated to teleworking. And who’s willing to pay for it.

As some employers consider remote-forever policies, there have been a few attempts to quantify the economic impacts of this digital turn away from the office. The focus tends to be on what the move might cost (or save) employers, in terms of productivity or salaries. Other research has delved into the savings, in gas, time and carbon emissions, from Covid-altered commuting regimes.