An Overview of Cost of Living in Waterloo, IA
Knowing the cost of living in Waterloo allows individuals to create a realistic budget. This helps them understand how their income will cover expenses and whether they need to make financial adjustments. The cost of living in any region can fluctuate due to various factors. To assess the cost of living consistently across different areas, a national average of 100 serves as the basis for the cost of living index. The cost of living in Waterloo stands at 82, marking it 18% lower than the national average.
Everyday basics like clothes, personal care items and entertainment factor into your overall living costs. But here's the good news: in Waterloo, these things are 18.5% more affordable than the national average. So, you can get what you need and have fun without emptying your wallet. With these savings, you can stash more money in your savings or put it towards other financial goals, ultimately improving your financial health.
What Do Locals Say About the Cost of Living in Waterloo?
The most insightful perspective on a city comes from its residents. We recently surveyed 30 locals to gauge their perception of the cost of living in Waterloo. The feedback revealed that 77% of respondents found the cost of living to be reasonable, with prices on the decline, while 23% regarded it as notably expensive with prices that continue to rise.
Is Waterloo Affordable?
Is Waterloo affordable? It's a key consideration when pondering a move, as affordability often shapes your choices. The cost of living index (we discussed it earlier), coupled with housing costs and income levels, serves as the cornerstone for determining a location's affordability. Take Waterloo, for instance, where the median home price falls 36.7% lower than the national average, and monthly rent rates are 18.2% lower than usual. Additionally, median income levels contribute to the equation, with Waterloo flaunting a median household income of $46,942, 15.1% lower than the national norm.
What Factors can Influence the Cost of Living in Waterloo?
Healthcare: Healthcare expenses and insurance premiums can vary significantly depending on the specific city or state. Factors such as accessibility to healthcare facilities, out-of-pocket expenses for doctor's visits, dental care expenses, prescription costs and specialized medical care fees can all influence the overall cost of living. In Waterloo, healthcare costs are 1.5% higher than the national average.
Groceries: Over the past 2-3 years, grocery expenses have experienced substantial upward trends. In certain markets, food prices have surged by over 20% during this period, while others have witnessed more modest increases. These fluctuations in food costs can wield significant influence over the overall cost of living in a given region. In Waterloo, the groceries index is 5.1% lower than the national average.
Urbanization: Urban areas with a wealth of amenities and employment opportunities tend to come with a higher price tag for living. Why? Well, more people want to be there, which drives up home prices and rents. On the flip side, less densely populated rural areas or places where there's not as much demand usually mean fewer attractions, things to do and slower job growth. That often results in a lower cost of living.
Where is the Data From?
The cost of living in Waterloo, presented above is derived from the C2ER cost of living index, offering a practical method for assessing living cost disparities in urban areas. Published quarterly, this index compiles data from more than 300 independent researchers, encompassing over 60 goods and services in 6 categories. The weightings assigned to cost variances are informed by government survey data tracking the expenditure patterns of professional and executive households. It should be noted that the C2ER index does not include data on sales or income tax rates, however, AreaVibes incorporates tax rates into the overall cost of living score for each area.
Here are the best places to live in Iowa
Top 10 best public schools in Waterloo
10 best cities to buy a new house in Iowa
10 Best cities in Iowa for employment