Some parents paying more for child care than rent: Study

(NewsNation) — The cost of day care for two small children is more expensive than paying for rent in the majority of major U.S. cities, a recent study indicates.

According to Lending Tree, the average monthly cost of full-time infant care at a center comes out to $1,282, about 25% less than the average monthly cost of $1,716 to rent a two-bedroom space. But that’s only for one child; the cost of child care is significantly more for families who have two or more young children.

“Spending almost $1,300 a month on child care is a massive burden for parents, but most families don’t have another choice,” said Lending Tree’s Matt Schulz.

“They can’t stay home. They don’t have family or friends they can rely on for child care. They have no other option but to put up a ton of money each month for child care. It makes an already difficult financial situation that much more challenging.”

The findings also revealed that Springfield, Massachusetts, had the highest child care-to-rent cost gap in the country. Monthly infant care in the city costs $1,996, while the average rent for a two-bedroom place is $1,734.

Behind Springfield was Milwaukee, Wisconsin, and Wichita, Kansas, which had a 14.8% and 14.3% difference.

“High child care costs may require some sacrifice, but it’s important to remember that day care isn’t a forever expense,” Schulz added. “With that in mind, it might make sense to focus on keeping housing costs down during that period in which you’re paying for child care regularly.”

According to Child Care Aware of America, the average cost of child care rose 13.3% from 2023 to 2024. The cost was up 35.5% from five years prior.