Choosing the best place to live can be a daunting task. With so many options, it can be hard to narrow down the choices and decide which is the right one. With the cost of living being an important factor to consider, it’s important to look at the highest cost of living states in the US for 2023 and determine which one is the best fit for you.
What is the Most Expensive State to Live in 2023?
When it comes to the highest cost of living states in the US for 2023, California tops the list. The cost of living in California is higher than any other state in the US and has been steadily increasing over the past few years. California has some of the highest housing costs in the nation, with the median home price in some areas reaching over $1 million. Additionally, the cost of living in California is significantly higher than the national average, making it the most expensive state to live in in 2023.
Top 10 Highest Cost Of Living States in 2023
These are the states that will cost you the most to live in, from having a pleasant environment to transportation factors.
#1. Hawaii
- Cost of Living Index: 193.3
- Groceries: 152.9
- Housing: 315
- Utilities: 164.2
- Transportation: 133.7
- Health: 115.3
- Miscellaneous: 126.7
Hawaii is the most costly state in the United States to live in. It has a cost of living index of 193.3, which is roughly twice the national average. Except for healthcare, Hawaii has the highest expenses across all categories. Housing is three times more expensive than the national average, with a median single-family home costing $730,511. Only 29% of citizens in the state can afford to buy a home, one of the lowest rates in the country. A two-bedroom apartment in Hawaii costs about $1,651. Two-bedroom apartment in Honolulu costs $3,500 per month. A two-bedroom apartment in the state costs an average of $1,651. Groceries are approximately 50% more expensive than the national average because most things must be delivered to the island.
Despite the high expense of living, Hawaii boasts the fourth-lowest poverty rate in the US. The typical income in Hawaii for a family of four is $118,223 per year, which is much more than the living wage of $107,702 per year.
#2. New York City
- Cost of Living Index: 148.2
- Groceries: 118.4
- Housing: 230.1
- Utilities: 99.8
- Transportation: 108.7
- Health: 102.5
- Miscellaneous: 113.7
New York is the second most expensive state in the US, and it is home to New York Metropolis, the most expensive city in the country. It has a cost of living index of 148.2. NYC housing is the second most costly in the country, costing 2.3 times the national average. A two-bedroom apartment in New York costs an average of $1,717, whereas a similar property in New York City costs an average of $5,874. A single-family home in New York typically costs $373,880. With barely a quarter of inhabitants able to purchase a new home depending on their salary, New York has the seventh-lowest housing affordability rate. New York has the lowest rate of homeownership in the country.
The annual median income for a household of four is $111,054. In New York, a family of four may live on $110,255.
#3. California
- Cost of Living Index: 142.2
- Groceries: 113.7
- Housing: 201.9
- Utilities: 124.3
- Transportation: 131.7
- Health: 110.7
- Miscellaneous: 110.3
California is the third most expensive state in America. It has a 142.2 cost of living index. Because California has the highest petrol prices, transportation costs are the second highest in the country. The average single-family home costs $683,996, which is double the national average. California has the second-lowest homeownership rate in the country. T In California, the average two-bedroom apartment rents for $1,614. However, expenditures are substantially higher in large urban regions like Los Angeles and San Francisco, where rents are among the highest in the country.
The median family income in California is $105,232 for a family of four, which is insufficient to meet the state’s living wage of $110,255 per year. In addition, California has the highest rate of homelessness in the country.
#4. Massachusetts
- Cost of Living Index: 135
- Groceries: 119.3
- Housing: 177.6
- Utilities: 111.1
- Transportation: 111.3
- Health: 118.8
- Miscellaneous: 116.5
Massachusetts is the fourth most expensive state in the United States, with a cost of living index of 135. TheMassachusetts housing costs 77% more than the national average, with Boston having the highest prices. In Massachusetts, the average single-family home costs $518,203. A typical two-bedroom apartment costs $1,360 per month.
Boston rents are nearly treble the state average. Costs in all other categories are among the highest in the country. Groceries are 19% more expensive than in the rest of the country, and health insurance is 18% more expensive. Despite its high costs, Massachusetts maintains a low poverty rate, with 9% of residents living at or below the poverty line.
For a family of four, the typical income in Massachusetts is $140,309, the highest in the US. A family of four may live on $121,414 in Massachusetts. The state’s minimum wage is $14.25, which is nearly double the federal minimum. Because of its strong education and healthcare systems, Massachusetts ranks among the states with the highest quality of life.
#5. Oregon
- Cost of Living Index: 130.1
- Groceries: 107.8
- Housing: 172.6
- Utilities: 90.2
- Transportation: 125.9
- Health: 115.7
- Miscellaneous: 115.6
Oregon is the fifth most expensive state in the country, with expenditures somewhat higher than the national average. While utilities are among the lowest in the country, housing in Oregon is among the costliest. In Oregon, the average single-family home costs $447,968. Home affordability in the state is among the lowest in the country, with fewer than a quarter of the population able to purchase a new home. A two-bedroom apartment costs $1,185 per month on average. The average monthly utility bill is $333.27.
Prices and salaries are both higher than the national average. The median income in the state for a family of four is $100,533. A similar family’s annual living wage is $96,003.
#6. Alaska
- Cost of Living Index: 127.1
- Groceries: 134.5
- Housing: 126.9
- Utilities: 154.8
- Transportation: 109.9
- Health: 154.2
- Miscellaneous: 114
Alaska is the sixth most expensive state in America. The state’s cost of living index is 127.1. Alaska has the most expensive healthcare in the country. The average single-family home costs $300,592, which is 26.9% higher than the national average. Two-bedroom apartments in Alaska average $1,201 per month. Goods are additionally pricey due to the state’s remote location. Groceries are the nation’s second most expensive, costing 35% more than the national average.
In Alaska, the median income for a family of four is $101,965. A family of four would only need $90,080 to make ends meet. Alaskans also receive oil dividends, which supplement their income. Despite its high-income levels, Alaska has routinely ranked among the worst states to live in, owing primarily to poor educational performance, high levels of violent crime, and low levels of opportunities.
#7. Maryland
- Cost of Living Index: 124
- Groceries: 110.4
- Housing: 165.9
- Utilities: 105.1
- Transportation: 107.6
- Health: 82.8
- Miscellaneous: 105.2
Maryland is the eighth most expensive state in America. Prices are 24% more overall than the national average, with home prices 66% higher. In the state, the average single-family home costs $366,581. Despite the high cost of housing, Maryland has the second-highest house affordability, with 57.16% of residents earning enough to afford a home. A two-bedroom apartment costs $1,041 per month. Healthcare expenditures are the second lowest in the country.
The median yearly income for a family of four is $130,252, which is significantly higher than the $100,959 required to make ends meet for a household with two working people. Maryland has the nation’s fifth-lowest poverty rate, with 9.1% of residents living at or below the poverty line.
#8. Connecticut
- Cost of Living Index: 121.6
- Groceries: 106.4
- Housing: 134.6
- Utilities: 132.4
- Transportation: 111.1
- Health: 111.3
- Miscellaneous: 117.5
Connecticut has the eighth-highest cost of living index in the United States, at 121.6. The average single-family home in the state costs $318,096, while two-bedroom apartment rents for $1,177 per month. Utilities are among the most expensive in the country, costing an average of $438.21 per month.
Despite the high costs, incomes are higher than the national average. The median annual income for a family of four is $120,379, which is significantly higher than the $99,955 required for a living wage. However, the state’s unemployment rate, at 4.9%, is among the highest in the country.
#9. Rhode Island
- Cost of Living Index: 117.2
- Groceries: 107.7
- Housing: 121.7
- Utilities: 127.6
- Transportation: 107.6
- Health: 105.8
- Miscellaneous: 118.6
Rhode Island has the seventh highest cost of living index in the United States, at 117.2. A typical single-family residence costs $372,809, which is 21% higher than the national average. A two-bedroom apartment in Rhode Island costs an average of $1,043 per month. The state’s utility prices are high, at $404.21 per month.
Rhode Island has a good standard of living. A family of four earns $108,105 a year on average, while the living wage is $95,005.
#10. Vermont
- Cost of Living Index: 117
- Groceries: 109.2
- Housing: 136.2
- Utilities: 119
- Transportation: 114.2
- Health: 99.3
- Miscellaneous: 104.3
Vermont is the ninth most expensive state in the country. Costs are 17% higher overall than the national average. Vermont has the eighth-highest housing costs in the US, with a single-family home costing $299,998. However, housing affordability in the state is the lowest in the country, with only 15% of inhabitants earning enough to afford a new home. The average two-bedroom apartment costs $980 per month.
A family of four earns $111,095 in Vermont, whereas the living wage is $96,665.
What is the Best State to Relocate to?
When it comes to choosing the best state to relocate to, it really depends on what kind of lifestyle you’re looking for. If you’re looking for a state with a high cost of living but also a vibrant culture and plenty of job opportunities, then California is the best choice. On the other hand, if you’re looking for a state with a lower cost of living and a more laid-back lifestyle, then states like Tennessee, Arkansas, and Mississippi may be the best choice.
What is the Cheapest State to Live in?
When it comes to the cheapest states to live in, the Midwest tends to be the region with the lowest cost of living. States like Ohio, Michigan, and Indiana all have low costs of living and are generally considered to be the best states for those on a budget. In these states, the cost of housing, groceries, and transportation is much lower than the national average, making them great places to live for those looking to save money.
Where is the Cheapest Place to Buy a House in the United States?
When it comes to buying a house, the Midwest is again the best place to look. In states like Michigan and Ohio, the median home price is significantly lower than the national average, making them great places to buy a house. Additionally, in states like Indiana and Iowa, the cost of living is low and the quality of life is high, making them great places to buy a house.
What is America’s Least Affordable State?
When it comes to the least affordable state in the US, Hawaii takes the cake. The cost of living in Hawaii is significantly higher than the national average and the median home price is incredibly high. Additionally, the cost of groceries, transportation, and other necessities is also very high in Hawaii, making it an incredibly expensive place to live.
Conclusion
When it comes to choosing the best place to live, the cost of living should be an important factor to consider. In the US, the cost of living varies greatly by location, and it is important to take into account the cost of living in a particular area when deciding on where to live.
The highest cost of living states in the US for 2023 are California, Hawaii, New York, Massachusetts, Washington, Oregon, Alaska, Maryland, Connecticut, New Jersey, and Rhode Island. The best state to relocate to depends on your lifestyle and budget, with states like California, Tennessee, Arkansas, and Mississippi being the best choices for those looking for a high cost of living or a more laid-back lifestyle. The Midwest is the best place to look for a house, with states like Ohio, Michigan, Indiana, and Iowa having low costs of living and high quality of life. Finally, Hawaii is the least affordable state in the US, with incredibly high costs of living and median home prices.
When considering where to live, it is important to take into account the cost of living in a particular area and make sure to factor it into your decision. By understanding the highest cost of living states in the US for 2023 and the best states to relocate to, you can ensure that you make the right choice for your lifestyle and budget.
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