The 5 most expensive cities in the US
The signs that the economy is beginning to improve are subtle, but they are out there. Whether it’s from the slow drop in gas 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 squeezing our pennies so hard. However, in some areas, keeping a tight grip on your dollar is more than a way of 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 in the United States. To compile the data, the C2ER gathered roughly 60 different items that were common to a variety of metropolitan areas, from groceries to medical and housing costs. From there, the C2ER compares the price of these items and calculates an index number. An index number greater than 100 indicates a higher than average cost of living. For example, if you make $ 100,000 in the average city, you would need to make $ 121,000 in Seattle, which has a 1-1.21 rating.
Below are the 5 most expensive cities in the US.
5. Boston, MA 1-1.30
Boston is one of the most attractive 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 largest concentration of universities in the country (making them an educated and studious city), an extensive public transportation system, and some of the best cultural attractions in the U.S. One of the downsides, however of a city with a wide variety of culture, history and charm for its inhabitants is the high cost of housing in dollars. The reason Boston made it to number 5 on our list is almost entirely a factor in home prices.
4. Washington DC 1-1.38
Washington DC, our nation’s capital, has one of the strongest labor markets in our country. This is due in large part to the number of city-based employers and government contracts. This, plus the central location, makes it a very attractive place to live. Keep in mind, although the median price for a one-bedroom apartment is about $ 1,100 per month, quite a lot for a small space. But you are paying for the location and the luxury. Add in mild winters and beautiful summers, national museums, and the variety of activities available throughout the year 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 gold-gilded hopes and dreams of wealth. Everyone has had the idea of moving to Los Angeles to “make it big.” It is the hot spot of Los Angeles and anyone who has lived or worked there at some point in their career. While Southern California may be the embodiment of excess and luxury, it is also home to family-friendly places like Disney World, Magic Mountain, Universal Studios, Knott’s Berry Farm. Overall, the overall cost of living in Los Angeles can be quite affordable, in 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: the cool brother of North Los Angeles. The atmosphere of Northern California is much more relaxed and friendly than that of the South. The greenery, the colder climates, the views all enhance the lassiez-faire vibe of the city. It’s a great city with a culturally diverse community, which means more places to explore, more places to see, and definitely more delicious food! Living in San Francisco means plenty of access to the great outdoors, an active nightlife, and a laid-back vibe. However, the rise of technology has made it highly sought after by individuals and businesses around the world, further increasing the already expensive cost of buying a home as the product fails to meet demand.
1. New York, NY 1-2.17
Is it such a big surprise 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 and forever immortalized in movies, comics, cartoons, and in the hearts of millions of people around the world. The Big Apple wins the top spot on the list due to the scandalous real estate 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 your hat 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 ties these cities together is not location or amenities; is the cost of owning or renting a home. Homebuyers looking to stop renting or current owners 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 Los Angeles 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.