Are you still in the process of choosing a new place to settle down? Why not first understand the cost of living in different cities. With housing costs skyrocketing, these California cities have been rated as the most expensive places to live in the United States.
No matter where you live, housing is the most expensive living expense. However, measuring “affordability” based solely on housing prices is not enough; other factors such as maintenance costs, tax rates, vacancy rates, per capita income, etc., also need to be considered.
In response to this, the personal finance website “WalletHub” compared 10 key indicators of 300 cities in the United States and conducted a comprehensive evaluation of the affordability of each city. According to the rankings, among the 20 most expensive and least affordable cities to live in the United States, 16 of them are in California.
When it comes to the most expensive cities in the US, people often think of places like San Francisco and Los Angeles. However, according to “WalletHub”, the coastal city of Santa Barbara, located about 100 miles north of Los Angeles, has been named the least affordable city in America.
Santa Barbara, with its pleasant climate and beautiful scenery, is often considered a retirement dream destination, but it ranks the worst in overall housing affordability in America, with its Price-to-Rent Ratio ranking second to last. According to data from the online real estate service company Realtor.com, the average selling price per square foot of homes in the area is $1,300, with the average median home transaction price exceeding $2.1 million.
The famous seaside city of Santa Monica is ranked as the second most unaffordable city in America, with an average housing price per square foot of $1,200 and an average median transaction price of about $1.7 million, making it the bottom in Price-to-Rent Ratio nationwide.
In comparison to the expensive price of $1,300 per square foot, Flint, Michigan only requires $61 per square foot, making it the most easily affordable city in the US.
Flint boasts the lowest Cost of Living Index (COLI) in America, and its Price-to-Rent Ratio is also very high, meaning buying a house is actually much cheaper than renting one; nearly 21% of homes in the city are vacant, giving buyers plenty of options.
Experts at “WalletHub” point out that one reason Flint is so cheap may be due to the city’s water crisis, but Flint’s drinking water has been meeting EPA standards for 6 years now.
According to “WalletHub’s” rankings, here are the top 20 least affordable cities in America. Average rent and median home prices are sourced from Zillow and Realtor.com.
1) Santa Barbara, California, with an average monthly rent of $5,000.
2) Santa Monica, California, with an average monthly rent of $3,325.
3) Berkeley, California, with an average monthly rent of $2,800 and an average median home transaction price of $1.6 million.
4) Costa Mesa, California, with an average monthly rent of $3,132 and a median home transaction price of $1.4 million.
5) Irvine, California, with an average monthly rent of $4,950 and a median home transaction price of $1.6 million.
6) Glendale, California, with an average monthly rent of $2,595 and a median home transaction price of $1.2 million.
7) Los Angeles, California, with an average monthly rent of $2,745 and a median home transaction price of $1.1 million.
8) Burbank, California, with an average monthly rent of $2,600 and a median home transaction price of $1.2 million.
9) New York, with an average monthly rent of $3,550 and a median home transaction price of $735,000.
10) Pasadena, California, with an average monthly rent of $2,675 and a median home transaction price of $1.3 million.
11) San Francisco, California, with an average monthly rent of $3,495 and a median home transaction price of $1.5 million.
12) Westminster, California, with an average monthly rent of $2,600 and a median home transaction price of $1.1 million.
13) Cambridge, Massachusetts, with an average monthly rent of $3,700 and a median home transaction price of $1.1 million.
14) Sunnyvale, California, with an average monthly rent of $3,309 and a median home transaction price of $2.3 million.
15) Boston, Massachusetts, with an average monthly rent of $3,400 and a median home transaction price of $800,000.
16) El Monte, California, with an average monthly rent of $2,500 and a median home transaction price of $730,000.
17) Huntington Beach, California, with an average monthly rent of $3,595 and a median home transaction price of $1.3 million.
18) San Mateo, California, with an average monthly rent of $3,495 and a median home transaction price of $1.5 million.
19) Boulder, Colorado, with an average monthly rent of $2,500 and a median home transaction price of $1.1 million.
20) Santa Clara, California, with an average monthly rent of $3,420 and a median home transaction price of $1.9 million.
According to “WalletHub’s” rankings, here are the top 10 most affordable and economically friendly cities in America. Average rent and median home prices are sourced from Zillow and Realtor.com.
1) Flint, Michigan, with an average monthly rent of $900 and a median home transaction price of $70,000.
2) Detroit, Michigan, with an average monthly rent of $1,215 and a median home transaction price of $95,000.
3) Pittsburgh, Pennsylvania, with an average monthly rent of $1,495 and a median home transaction price of $265,000.
4) Surprise, Arizona, with an average monthly rent of $2,171 and a median home transaction price of $429,000.
5) Akron, Ohio, with an average monthly rent of $1,062 and a median home transaction price of $145,000.
6) Yuma, Arizona, with an average monthly rent of $1,559 and a median home transaction price of $338,000.
7) Memphis, Tennessee, with an average monthly rent of $1,315 and a median home transaction price of $200,000.
8) Augusta, Georgia, with an average monthly rent of $1,350 and a median home transaction price of around $200,000.
9) Fort Wayne, Indiana, with an average monthly rent of $1,260 and a median home transaction price of $250,000.
10) Indianapolis, Indiana, with an average monthly rent of $1,537 and a median home transaction price of around $270,000.
(This article is for general reference only and does not constitute investment, tax, legal, real estate, or financial planning advice.)