This is the effect of the over-priced real estate market.

While many have called the current drop in real-estate prices a "crash" in reality, even now, after the huge drop in prices, the fact that wages have not kept up with inflation coupled with a coincident drop in full time employment has left many people with no choice but to pack more people into a space intended for two or three. Expenses vary place to place, but someone earning $42,000 a year can't buy a house - ever - here on the east coast. And once you get to Manhattan - forget it. When I first started working in my current job three years ago, I considered getting a small apartment as a place to stay for some of the late nights that inevitably crop up. I didn't need much - a one-room studio apartment would be fine. I found a place not too far from the office. One room - 12' x 15 '- no kitchen, just a countertop microwave and a sink like you might find in a hotel room and a bathroom that would be at home in any RV. $3,150 a month. No, really. I recently looked at the same apartment, now that the real-estate market has "crashed" guess what the rent is? $2900 a month. Now Manhattan is a bit surreal when it comes to housing prices, but in other markets, it's still very much a huge expense.

Consider this - I spend 14% of my income (pre tax) on housing. I am in the minority here - the "guideline" published by the national association realtors is 30-40% - and the reality is that many people spend more than 50% of their income on housing. But that leaves no room for other expenses - like food, transportation and importantly for 47 million Americans, health care.

I have a family member who rents a small house. At first, the rent was shared between her and one other person. But work is hard to find, so they added a 3rd person. And then a 4th. Now, this tiny house has four people all struggling to make ends meet - none of them can afford health insurance AND rent, so they are all uninsured. None of them have any savings, they live month to month. So, they try to cut the cost of rent by packing more and more people into the space.

So when you feel like a sardine packed in, consider that nobody WANTS to live like that - and certainly it's not a choice made willingly.