An Overview of Cost of Living in Raleigh, NC
Are you thinking about relocating, but curious about the potential cost of living in Raleigh? Is it more expensive or more affordable than average? Based on the most recent report, the cost of living in Raleigh stands at 111, making it 11% higher than the national average. The cost of living directly affects the affordability of one's desired lifestyle. Knowing the cost of housing, transportation, groceries and other essentials in the new area allows people to gauge whether they can maintain their preferred standard of living.
Housing costs are a very significant part of the Raleigh cost of living index and generally encompass a large percentage of take-home income. Unfortunately, in this area, the housing costs for both homes and rentals were 38.3% more than the average city. This includes things like home and rent prices, mortgage rates and insurance.
What Do Locals Say About the Cost of Living in Raleigh?
When it comes to knowing a city, its residents are the experts. We conducted a survey with 66 locals to understand their opinions on the cost of living in Raleigh. The results indicated that 53% found it reasonably priced with decreasing prices of goods and services, while 47% viewed it as quite expensive, with increasing prices.
Is Raleigh Affordable?
Wondering if Raleigh is affordable? It's a question that often comes up when you're thinking about a new city since affordability can really shape your decisions. The cost of living index (covered earlier), housing expenses and income levels all play a part in the affordability equation. In Raleigh, for example, the median home price is 44.5% higher than what folks pay nationally, and monthly rent is 23.8% higher than the usual rates. Plus, income levels matter too, with Raleigh boasting a median household income of $69,720, which is 26% higher than the national average.
What Factors can Influence the Cost of Living in Raleigh?
Utilities: Much like any other costs, utility expenses can exhibit considerable variations, influenced by factors such as climate, available energy sources, geographic location and state regulations. The costs associated with electricity, water, heating, and waste disposal can vary significantly depending on the city or state in question. In Raleigh, the utilities index stands at 1.8% lower than the national average.
Taxes: Cities that impose higher taxes, including sales and income taxes, can contribute to an escalated cost of living. The added expense of taxes on everyday goods like clothing and food naturally results in higher overall costs. Similarly, a higher income tax rate can further elevate the cost of living. In Raleigh, the general sales tax rate starts at 4.75%, and income tax rates begin at 4.99%.
Housing: High demand for housing in desirable locations can drive up property prices and rental rates. This can be a primary contributor to a higher cost of living. While low demand for housing, especially in undesirable locations, can have the reverse effect and drive prices down, resulting in a lower cost of living. The housing index in Raleigh, is 38.3% higher than the national average.
Where is the Data From?
The Raleigh cost of living data displayed above is derived from the C2ER cost of living index to provide a useful and reasonably accurate measure of living cost differences in urban areas. The index takes into account data from 300 independent researches, covering more than 60 goods and services across 6 different categories, to create an overall index for each area, with 100 being the average. The C2ER index does not include sales or income tax rates in their data, however AreaVibes does include both income and sales tax rates in the overall cost of living score for each area.
Here are the best places to live in North Carolina
See the best places to live in Raleigh
Most Dangerous States In The US
Check out the 10 most dangerous cities in North Carolina