F
53%
Overall NAT. AVG.
8%
Goods & Services NAT. AVG.
137%
Housing NAT. AVG.
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Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.
The cost of living index is based on a national average of 100. For example, if the cost of living is 90, then it is 10% lower than average. If the cost of living is 110, then it is 10% higher than average. The breakdown for each index is as follows: goods & services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). If the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
Index Watsonville California National
Cost of living153140100
Goods & Services108111100
Groceries115112100
Health care123109100
Housing237196100
Transportation130126100
Utilities132127100

An Overview of Cost of Living in Watsonville, CA

Understanding the cost of living in Watsonville can help future residents assess whether their current financial situation aligns with the expenses they will encounter. It enables them to plan for potential changes in their budget and lifestyle. The Watsonville cost of living index is 153, which is 53% higher than the national average. The cost of living index is calculated by taking into account multiple categories, which encompass both the cost of everyday expenditures and larger expenses as well.

If you're in pursuit of an economical living environment, Watsonville may not fit the bill, as it ranks among the most expensive places to reside in the United States. Just a minority of regions exhibit a cost of living that is more than 20% higher than the national average, and, unfortunately, Watsonville falls within this bracket.

When it comes to the cost of living in Watsonville, housing costs are a real heavyweight, often hogging a significant chunk of your earnings. Sadly, in this area, housing expenses for both buying and renting were 137.1% more expensive compared to your average city. That means you'll be shelling out more for homes, rents, mortgage rates and insurance.

The surge in grocery costs is indeed alarming, especially when groceries make up a large portion of your monthly expenditures. Over the past two years, there has been an inflation of over 10% in grocery prices. Unfortunately, Watsonville does not fare better, with grocery expenses coming in at 14.5% higher than the national average.

Is Watsonville Affordable?

Is Watsonville 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 Watsonville, for instance, where the median home price falls 170.9% higher than the national average, and monthly rent rates are 58.3% higher than usual. Additionally, median income levels contribute to the equation, with Watsonville flaunting a median household income of $61,496, 11.2% higher than the national norm.

What Factors can Influence the Cost of Living in Watsonville?

Groceries: Grocery costs have continued to increase significantly over the last 2-3 years. In some markets the cost of food has gone up by more than 20% in that period. While other markets have managed to see only a moderate uptick. These food costs can have a major impact on the cost of living in any area. In Watsonville, the groceries index is 14.5% higher than the national average.

Utilities: As with the prices of anything else, utility costs can exhibit significant variations, contingent on factors like climate, energy source availability, geographic location and state regulations. The expenses associated with electricity, water, heating, and waste disposal can fluctuate, either upward or downward, depending on the particular city or state. In Watsonville, the utilities index registers 31.8% higher than the national average.

Housing: When everyone's vying for homes in popular areas, it drives up property prices and rents, making the overall cost of living surge. On the flip side, in less sought-after locales, where housing demand is low, prices tend to dip, resulting in a more economical cost of living. In Watsonville, the housing index comes in at 137.1% higher than the national average.

Where is the Data From?

The cost of living data in Watsonville displayed above is sourced from the C2ER cost of living index, which serves as a practical tool for comparing living expenses across urban areas. Published on a quarterly basis, this index aggregates data from over 300 independent researchers, encompassing more than 60 goods and services, in 6 different categories. The weightings assigned to cost differences rely on government survey data that tracks the spending habits of professional and executive households. It's worth noting that the C2ER index excludes data on sales or income tax rates, while AreaVibes integrates tax rates into the overall cost of living evaluation for each region.

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Cost Of Living Quick Facts

  • The cost of living in Watsonville is 10% higher than the California average
  • The cost of living in Watsonville is 53% higher than the national average
  • Watsonville housing is 137% higher than the national average
  • California general sales tax is 42% higher than the national average
  • California state income tax is 56% lower than the national average

Most Affordable Places to Live in and Around Watsonville

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Compare Watsonville, CA Cost of Living

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      Salary Calculator

      This is how much you would need to earn in
      Price difference in compared to
      Cost of living index
      Goods & Services index
      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median Income Per Year Per Month Max Budget (28% DTI) Max Budget (36% DTI)
      Owners$95,557$7,963$2,230$2,867
      Renters$47,166$3,931$1,100$1,415
      The percent of monthly income spent on housing can be a good indicator of the affordability of housing in Watsonville, CA, as well as the overall cost of living. As a general rule of thumb, the debt-to-income ratio (DTI) for homeowners or renters should be not more than 28 percent of gross income to be spent on housing related costs and not more than 36 percent of income on all expenses, including debts. The median income for Watsonville homeowners, is $95,557. This would allow for a maximum of $2,230 per month to be spent on housing costs. For renters, the median monthly income is $47,166 which would result in a maximum of $1,100 to be spent on rental costs.

      California Sales Tax

      State General Sales Tax With Max Surtax
      California 7.25% 10.5%

      California Income Tax

      State Income Tax (Low) Income Tax (High)
      California 1% 12.3%

      Goods & Services

      Item Watsonville National avg. Difference
      Haircut $33.94$24.2639.9%
      Beauty Salon $48.51$45.566.5%
      Toothpaste $3.72$3.700.4%
      Shampoo $1.66$1.2829.9%
      Movie $13.31$12.139.7%
      Bowling $33.30$18.0085.0%

      Groceries

      Item Watsonville National avg. Difference
      Ground Beef $5.79$5.840.8%
      Fried Chicken $2.13$1.5735.7%
      Milk $5.05$4.678.2%
      Potatoes $4.77$4.933.4%
      Pizza $14.92$12.0923.5%
      Beer $10.99$10.415.6%

      Health Care

      Item Watsonville National avg. Difference
      Optometrist $158.95$125.6826.5%
      Doctor $194.05$135.7842.9%
      Dentist $147.78$113.2930.4%
      Ibuprofen $11.51$10.658.1%
      Lipitor $390.15$468.6016.7%

      Housing

      Item Watsonville National avg. Difference
      Home Price $500,300.00$184,700.00170.9%
      Avg. Mortgage Payment $8,581.10$2,346.69265.7%
      Apartment Rent $1,502.00$949.0058.3%

      Transportation

      Item Watsonville National avg. Difference
      Gasoline $4.81$3.4638.9%
      Tire Balancing $65.62$59.929.5%

      Utilities

      Item Watsonville National avg. Difference
      All Electricity $294.74$193.9951.9%
      Phone $190.07$192.251.1%
      Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.

      Nearby cities with low cost of living

      City Population Cost of Living Index National Avg.
      Moss Landing, CA3111716.8%
      Live Oak city, CA8,5011066.5%
      Live Oak, CA8,79411717.0%
      Paradise Park, CA46813535.1%
      Pajaro, CA3,50914242.2%
      Watsonville, CA52,39815352.9%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Stratford, CT52,30011716.7%
      Olympia, WA52,29012827.8%
      Edina, MN52,21513838.0%
      Mascouche, QC52,212n/a 
      Queen Creek, AZ52,16213434.3%
      Watsonville, CA52,39815352.9%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.