The signs that the economy is beginning to improve are subtle, but they are out there. Whether it’s the slow decline in gasoline prices or the fact that the housing market is starting to stabilize, the country is starting to breathe a sigh of relief that maybe we can stop stinging so hard on our pennies. However, in some areas keeping a tight rein on your dollar is more than just trying to stay afloat in tough economic times; it is simply the price you pay to live and have a mortgage in an expensive city.
Each quarter, the Council for Community Economic Research (C2ER) produces a cost of living index that measures the average cost of living in metropolitan cities across the United States. To compile the data, the C2ER gathered approximately 60 different items that were common to a variety of metropolitan areas, from groceries to housing and medical costs. From that, the C2ER compares the price of these items and calculates an index number. An index number greater than 100 indicates an above-average cost of living. For example, if you earn $100,000 in an average city, you would need to earn $121,000 in Seattle, which has a score of 1 to 1.21.
The following are the 5 most expensive cities in the US.
5. Boston, MA 1-1.30
Boston is one of the most desirable cities to live on the East Coast. It is a comfortable city that prides itself on its historic charm and beauty. The city boasts the highest concentration of universities in the country (making it an educated and studious city), an extensive public transportation system, and some of the best cultural attractions in the US. One downside, however, is A city with a range of culture, history and the charm of its inhabitants is the high dollar cost of the house. The reason Boston made it to No. 5 on our list is almost entirely a factor of house prices.
4.Washington DC 1-1.38
Washington DC, our nation’s capital, has one of the strongest job markets in our country. This is largely due to the number of employers and government contracts based in the city. This plus the central location make it a highly desirable place to live. Keep in mind that the median price for a one-bedroom apartment is about $1,100 per month, quite a bit for a small space. But you are paying for the location and the luxury. Add in the mild winters and beautiful summers, the national museums, and the variety of activities available year-round, and it becomes clear why Washington DC is number four on the list.
3. Los Angeles, CA 1-1.40
Los Angeles: home to celebrities, movie stars, glamor and thousands of hopes and dreams of gold-plated wealth. Everyone has entertained the idea of moving to Los Angeles to “achieve.” It is the hot spot of Los Angeles and anyone has lived or worked there at some point in their career. While Southern California may be the very embodiment of excess and luxury, it’s also home to family-friendly places like Disney World, Magic Mountain, Universal Studios, Knott’s Berry Farm. In general, the overall cost of living in Los Angeles can be quite affordable, surrounding areas like Bel Air and Beverly Hills, and the lack of public transportation really drives up the cost of living and home prices as well.
2. San Francisco, CA 1-1.62
San Francisco: Los Angeles’ cool northern brother. The atmosphere in Northern California is much more relaxed and friendly than in the South. The greenery, cooler climates, and views enhance the city’s laid-back vibe. It’s a big city with a culturally diverse community, which means more places to explore, more sights to see, and definitely more delicious food. Living in San Francisco means plenty of access to outdoor activities, an active nightlife, and a relaxed atmosphere. However, the rise of technology has made it highly sought after by individuals and businesses around the world, further raising the already high cost of buying a home as the product does not meet demand. .
1.New York, NY 1-2.17
Are you so surprised that New York ranks first on the list of the most expensive American cities to live in? It is one of the most famous cities forever immortalized in movies, comics, cartoons and the hearts of millions of people around the world. The Big Apple wins the top spot on the list due to the scandalous housing market for both renters and buyers. On average, New York City has a median home price of $1.1 million, while an average apartment can cost renters $3,400 per month. While it may seem outrageous, the price of having a place to hang out is well worth it when you have places like Central Park, Broadway, Yankee Stadium, or some of the best museums in the world at your disposal.
The thread that unites these cities is not location or amenities; is the cost of owning or renting a home. Homebuyers looking to stop renting or current homeowners looking to take advantage of historically low interest rates should look no further than Quicken Loans. Whether you’re looking for your dream home in the city of angels or the city that never sleeps, one of our highly trained mortgage experts will help you finance a new home loan or refinance your existing loan.