States With the Highest Average Home Prices in 2023

The United States ranks 26th in the world in terms of the expense it takes to maintain a basic standard of living. The price of necessities, however, varies considerably from one state to the next.

Everyday necessities like food, shelter, medical care, and transportation are all factored into what economists call the "cost of living." The cost of living can vary greatly from one state to the next, with the highest averages typically found in the states that are home to large metropolitan areas. Locations in the Northeast, along the Pacific Coast, and in the non-contiguous states have the highest median home prices in the country.

Since most Americans invest their wealth in housing, housing costs have a significant impact on overall cost of living. This means that the cost of a home will be higher in locations with more buyers looking for a place to call home. Transportation expenses, resource accessibility, the cost of child care, and municipal taxes also play a role in the overall cost of living.

A comparison of prices across states is made possible by the "cost of living index." U.S. national average cost of living data is used for the index. S using a starting point of 100 To get a sense of how prices in various regions of the United States compare, they can be compared to this standard. If the index value is greater than 100, the cost of living is above the median for the United States. Because of an increase in the index, the purchasing power of a dollar decreases.

Standard of living in the USA

Comparing the most expensive states with the rest of the country requires some context, so knowing what the national average is will help. In order to cover their costs, American families typically shell out ,334 annually. The average American family spends $1,784 per month on housing, or nearly 35% of their income. U.S. single-family home prices average $273,992 Rental rates for a two-bedroom apartment average $1,164 per month.

Transport accounts for 16%, or ,826, of the average American family's budget. Average yearly healthcare expenditures are ,177. Spending on food totals ,317 per year, or 9 per month, for the typical American family. 75 a month In America, a typical household must spend $370 per year on utilities. Once a month, there are 16

In order to provide for a household of four in the United States, the median annual income must be ,808. In the United States, the annual median household income is ,521.

States with the Highest Average Home Prices

Hawaii

• Index of Consumer Prices: 193 3
• Food and Drink: 152 9
• Accommodations: 315
• Energy: 164 2
• Moving Around: 133 7
• The patient's health score is 115. 3
• Number of Other Items: 126 7

The Aloha State of Hawaii is the priciest place to call home in all of America. There is a 193 percent increase in the cost of living here. Third, compared to the rest of the country, living expenses in Hawaii are significantly higher. The state of Hawaii has the highest average costs, with the exception of healthcare. In this area, the median price of a single-family home is 0,511. This is three times the national average. One of the lowest rates in the country, only 29% of residents can afford to buy a home in the state. A two-bedroom apartment in Hawaii costs on average $1,651 per month. The average cost of a two-bedroom apartment in Honolulu is $3,500 per month. Average monthly rent for a two-bedroom apartment in the state is $1,651. Since the majority of groceries must be shipped to the island, their prices are also 50 percent higher than the national average.

Nonetheless, the state of Hawaii has the fourth-lowest poverty rate in the nation, despite its high cost of living. In Hawaii, the median annual income for a family of four is $118,223, which is more than the required annual income of $107,702.

New York

• The CPI is currently at 148. 2
• Spending on Food and Beverages: 118 4
• Amount of dwellings: 230 1
• Services: 99 8
• Number of rides: 108 7
• Vitality: 102 5
• Disparate: 113 7

New York is home to New York City, the most expensive city in the United States, and the state as a whole ranks as the second most expensive in the country. New York has a cost of living index of 148. 2 New York City has the second-highest housing costs in the country. S expensed at $2 Three times the U.S. average A two-bedroom apartment in New York costs an average of $1,717 per month, while a comparable NYC apartment costs an average of ,874 per month. Single-family homes in New York cost an average of $373,880. Only 25% of New Yorkers can afford a new home in accordance with their income, ranking the state seventh-worst in terms of housing affordability. The rate of homeownership in New York is the lowest of any state.

Annually, a family of four can expect to make a median of $111,054. In New York, a family of four needs an annual income of $110,255 to get by.

California

• Average Weekly Earnings: $1,142.42 2
• Food and Beverages: 113 7
• Shelters: 201 9
• Number of 124 Utilities 3
• Transmission: 131 7
• Life Expectancy: 110 7
• Variables: 110 3

In terms of overall cost of living, California ranks third-highest among all 50 states. The CPI there is 142. 2 The state ranks second-highest in transportation costs due to high gas prices. The median price of a single-family home is 3,996, which is nearly $200,000 more than the national average. The percentage of Californians who own their homes is second lowest in the country. In California, a two-bedroom apartment will run you an average of $1,614 per month. However, in major metropolitan areas like Los Angeles and San Francisco, where rents are among the highest in the country, prices are much higher.

In California, a family of four needs an annual income of $110,255 to get by, but the median income in the state is only $105,232. The state of California also has the highest homeless population in the country.

Massachusetts

• Index of Consumer Prices: 135
• Food and Drink: 119 3
• Number of Residences: 177 6
• Cost of utilities: 111 1
• The 111 Bus System 3
• Life Expectancy: 118 8
• Variety: 116 5

Massachusetts ranks as the fourth most costly state in the country, with a cost of living index of 135. In Massachusetts, home prices are 77% higher than the national average, with Boston having the highest rates. In Massachusetts, the average price of a detached house is 8,203. One can expect to pay around $1,360 per month for a standard two-bedroom apartment. Boston rents are almost three times the statewide average. All other costs are also high, ranking among the highest in the country. Healthcare premiums are 18% higher than the national average, and grocery prices are 19% higher. Nevertheless, with only 9% of its population living in poverty, Massachusetts has a relatively low poverty level despite its high costs.

Massachusetts has the highest median income in the country, at $140,309 for a family of four. In Massachusetts, a household of four needs an annual income of $121,414 to get by. $14 per hour is the state minimum wage. 25, almost twice the minimum age in the US In addition to having one of the best economies, Massachusetts also has one of the best quality of life rankings because of its excellent public school and medical care systems.

Oregon

• Average Monthly Spending: $ 130 1
• Food and Beverages: 107 8
• Inhabitants Housed: 172 6
• Service Fees: 90 2
• Amount of Travel: 125 9
• Condition: 115 7
• Unclassified: 115 6

Prices in Oregon are just slightly higher than the national average, ranking the state as the fifth most expensive in the country. Oregon has some of the highest housing costs in the United States but some of the lowest utility costs. In Oregon, a single-family home will set you back around $447,968. Among the lowest in the country, less than a quarter of the population can afford to purchase a new home. The median rent for a two-bedroom unit is $1,185 per month. Typically, a family will spend $333 per month on utilities. 27 a month

Both prices and wages are above the national average. One hundred five hundred and thirty-three dollars per year is the median income for a family of four in this state. Annually, ,003 is the minimum wage for a family of four.

Alaska

• Average Annual Change in the Cost of Living Index: 127 1
• Food and Drink: 134 5
• 126 dwellings 9
• Energy: 154 8
• A total of 109 rides 9
• Fitness: 154 2
• Non-Fiction: 114

The Alaskan state ranks sixth among the most expensive in the USA. As of this writing, 127 is the state's cost of living index. 1 Alaska has the nation's priciest healthcare system. The national average for the cost of housing is $26, average single-family home price of $300,592 is 9% higher than the U.S. average. The average Alaskan rent for a two-bedroom apartment is $1,201. The state's isolation means that consumer goods are more costly than in other areas. Food and household goods are 35% more expensive than the national average, making them the second most expensive in the country.

In Alaska, a family of four earns a median annual income of $101,965. Having ,080 a year is enough to support a family of four in the United States. Earnings are bolstered further for Alaskans thanks to oil dividends. Yet, despite its high income, Alaska consistently ranks among the worst states to live in, primarily because of its low levels of opportunity, high levels of violent crime, and poor educational outcomes.

Maryland

• Indice of Consumer Price Change: 124
• Consumables: 110 4
• 165 dwellings 9
• Useful Products and Services: 105 1
• Route 107: Transportation 6
• Health: 82 8
• The remainder: 105 2

To put it another way, Maryland is the seventh most expensive state in the country. Costs are 24% higher than the national average, with housing being 66% more expensive. A state median price for a single-family home is $366,581. Maryland has the second-highest house affordability in the country, at 57. With their salaries, 16% of locals can afford to buy a house. A $1,041 monthly rent is average for a two-bedroom apartment. Our healthcare system has the second-lowest costs in the country.

An annual income of $130,252 is sufficient for a family of four, well above the subsistence level of $100,959 required by a two-income family. Maryland's poverty rate of 9 percent places it fifth lowest in the country. at least one percent of the population is living in poverty

Connecticut

• Average Annual Change in the Cost of Living: 121 6
• 106 items in the grocery store 4
• 134 dwellings 6
• Services: 132 4
• Means of Transport: 111 1
• In good health: 111 3
• Variables: 117 5

The CPI in Connecticut is 121. At number 8, it is the eighth most expensive state in the USA. Statewide, the average cost of a single-family home is $318,096, while the median rent for a two-bedroom apartment is $1,177 per month. The average annual cost of utilities is $438, which is higher than the national average by a significant margin. 21 a month

The average income is above average, so it's not all bad news. When a family of four has a median income of $120,379 per year, that number is significantly higher than the ,955 minimum wage. Nonetheless, at 4%, the state has one of the highest unemployment rates in the country. 9%

It's in Rhode Island1.

• The CPI is currently at 117. 2
• Food and Beverage: 107 7
• 121 dwellings 7
• 127 Utilities 6
• The 107 different modes of transportation 6
• Condition: 105 8
• A Variety of Other Things: 118 6

Living in Rhode Island is expensive, with an overall index of 117. 2; ranking it #9 most expensive in the USA An average single-family home costs $372,809, which is 21% more than the national average. In Rhode Island, a two-bedroom apartment can cost you around $1,043 per month to rent. The average cost of utilities in the state is $404 per month. 21 a month

It's no secret that Rhode Islanders enjoy high incomes. The gap between the median annual income for a family of four and the required annual income to maintain one's standard of living is $108,105 and ,005, respectively.

Vermont

• The CPI is currently at 117.
• In-Store Groceries: 109 2
• 136 dwellings 2
• Essentials: 119
• Rides: 114 2
• Health: 99 3
• Unclassified: 104 3

If you're looking for the most expensive state in America, look no further than Vermont. Generally speaking, costs are 17% higher than the US average. The average cost of a single-family home in Vermont is $299,998, making it the eighth most expensive state in the country. Unfortunately, only 15% of residents in the state make an income that would allow them to afford a new home, making California the least affordable housing market in the country. The average monthly rent for a two-bedroom apartment is 0.

For a family of four, Vermont's median income is $111,095; however, the state's living wage is only ,665.

##Conclusion A cost of living index is used to rank the states according to how much their residents' basic needs cost relative to the rest of the country. As can be seen, however, costs are not the whole picture. There may be a correlation between the highest cost of living and the highest wages, but this does not necessarily mean that residents of the most expensive states are unable to enjoy a high standard of living.