An Overview of Cost of Living in Wilmington, NC
Knowing the cost of living in Wilmington 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 Wilmington stands at 109, marking it 9% higher than the national average.
In Wilmington, daily expenses such as food, housing, goods and services, transportation and health care are in line with comparable areas and about average when compared to all cities across the nation. This ensures that the cost of living in Wilmington will resemble that of an average city, contributing to a manageable cost of living.
Housing costs significantly influence the Wilmington cost of living index, typically accounting for a substantial portion of one's post-tax income. Regrettably, within this particular region, expenses related to both residential ownership and renting exceeded those observed in an average city by 32.1%. This entails elements such as housing and rental prices, mortgage interest rates and insurance costs.
What Do Locals Say About the Cost of Living in Wilmington?
Locals have the inside scoop on their city. So, we polled 20 residents in Wilmington to learn how they view the cost of living. We asked how they felt about the cost of living in their area, and if they thought that prices were increasing, decreasing or staying the same. The verdict? 30% find it reasonable with decreasing prices, but 70% think it's quite pricey, with prices that continue to rise.
Is Wilmington Affordable?
Is Wilmington 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 Wilmington, for instance, where the median home price falls 43.3% higher than the national average, and monthly rent rates are 6.2% higher than usual. Additionally, median income levels contribute to the equation, with Wilmington flaunting a median household income of $51,137, 7.6% lower than the national norm.
What Factors can Influence the Cost of Living in Wilmington?
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 Wilmington, is 32.1% higher than the national average.
Taxes: Cities that enforce higher taxes, covering both sales taxes and income taxes, can be a factor contributing to a higher cost of living. Paying more in taxes for everyday essentials like clothing and food inevitably leads to higher expenses. A higher income tax rate can further contribute to an overall elevated cost of living. In Wilmington, the baseline sales tax rate begins at 4.75%, and income tax rates start at 4.99%.
Groceries: Grocery prices have seen substantial hikes in the last 2-3 years, with some markets witnessing food cost increases of over 20% during this period. Conversely, certain markets have experienced only moderate upticks. These variations in food expenses can have a substantial impact on the overall cost of living in any locality. In Wilmington, the groceries index is 1.6% lower than the national average.
Where is the Data From?
The Wilmington cost of living data you see above is sourced from the C2ER cost of living index, providing a practical and accurate means of comparing living expenses in urban areas. Updated quarterly, this index gathers data from over 300 independent researchers, covering more than 60 goods and services, in 6 different categories. These selections are made meticulously to represent a wide range of consumer expenditure categories. The weightings applied to cost differences are based on government survey data that tracks spending patterns among professional and executive households. It's important to note that while the C2ER index excludes data on sales or income tax rates, AreaVibes factors tax rates into the overall cost of living score for each region.
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