What is The Cost of Living In Chicago?

Before you make the big decision to relocate to Chicago, Illinois, consult with a professional Realtor. They will walk you through an estimation of costs for each suburb or neighborhood that interests you. Can you afford all that the city has to offer? What is the cost of living in Chicago?

The cost of living in Chicago is higher than the US average. Chicago is typically the 11th most high-priced city in the country, ranking alongside places like Minneapolis, Boston, and San Diego.

The Chicago cost of living is significantly lower than that of other major cities, such as New York or San Francisco, and it nevertheless offers many of the same attractions and conveniences. In reality, the two top cities from which immigrants migrated to Chicago are New York and San Francisco.

This is a comprehensive list of my average monthly expenses and salary so that you can gauge how much it would cost to live in Chicago if you wish to do so.

What are Chicago’s Housing Costs?

Not shockingly, when understanding how much Chicago costs, your main monetary worry will most likely be housing costs. Your safe place should be where you live, so housing should be a top priority in hunting where to live.

Chicago’s housing market has a median sale price of $290,000. Chicago homes are less expensive compared to the nation’s median purchase price for houses, which jumped to $295,300.

One of the key reasons Chicago’s home prices are lower than other major cities on average is the city’s excess housing supply, which has lowered home values. Chicago real estate market hasn’t appreciated much in value in comparison to the rest of the nation, with a lower appreciation margin of 2.20%.

Now can be an excellent time to purchase and secure a lower price if you’re wanting to relocate.

In Chicago, Should I Rent or Buy?

The Windy City is a pricey city to rent in. Chicago apartments will cost an average rent of $1,826 per month. This represents a 1.15 percent increase from the previous year. The national average for rent is $1,588 for a one-bedroom apartment. However, the price is significantly higher in Chicago.

Chicago is an excellent value when you compare rental costs to those in other large cities like San Francisco, where the rental rate is $3,500, or New York, where you’ll pay $3,000 per month.

Prices in some Chicago suburbs can be comparable to those in San Francisco or New York. Rent in River North will cost you $2,600 per month, and rent in Streeterville can cost you $2,566. Both the Austin and The Island areas have rent prices that are a mere $562 per month.

The cost of a home is currently lower than the national average, thus, purchasing one might be preferable to renting.

However, Chicago has one of the high real estate taxes, coming in second only to New Jersey at 2.27%. In comparison to a state like Hawaii, where you would only spend roughly $600 to purchase the same property, you will therefore be paying on average $4,942 on a $217,500 home.

Cost of Living in Chicago and Utility Costs

Your utility costs won’t be excessive if you live in Chicago. Heating, air conditioning, water and waste costs for an average 900-square-foot flat are $150- estimated monthly costs.

In general, Chicago’s utility costs are around 7% less than the rest of the country. This makes it affordable to live in the city once you have a perfect house and a steady cash flow.

Utility prices in Chicago, like property taxes, sales taxes and other costs, differ from suburb to suburb, so you should research any area you’re considering to get an accurate estimate.

Due to Chicago’s 9% streaming service tax, internet service will set you back about $64 per month, which is more than the national average. Additionally, since cellular services are taxed at 43%, among the highest rates in the country, you’ll pay extra for your phone service.

Food Budget and Cost of Living in Chicago

Chicago is renowned for having a fantastic food culture. You should set aside some money from your budget to check out some of the city’s top restaurants. A three-course lunch at a mid-range restaurant can cost $72, whereas a meal at a cheap restaurant can cost you roughly $15.

Food Costs are on the necessity list, but a dozen eggs will cost you approximately $3.50. Chicago imposes a 0.5% restaurant tax in addition to its high 10.25% sales tax. Before offering to foot the tab for everyone’s meal, you might want to take this into account.

The price of groceries is comparable to other cities, such as Minneapolis in the Midwest. You’ll typically spend $300 each month on groceries. Though the monthly price will vary adversely depending on your consumption level.

Is a salary of $70,000 Good in Chicago?

Yes! In Chicago, a two-person family makes an average salary of $60,000. Therefore, if a single individual earns $70,000, they earn more than the average income for a household headed by one person. In Chicago, the median salary income for a household of four is barely $76,000.

Certainly. For a single individual, it’d be a cozy middle-class existence. If you and your spouse both earned that much money, you would live a very comfortable life. This can even help you cater for children or family members comfortably.

Transportation Costs and Chicago’s Cost of Living

Public transportation is a practical choice for many inhabitants in Chicago, which has the second-largest transportation system in the country. About 30% of Chicago residents choose public transit over driving a car. When analyzing Chicago’s cost of living, that can have a significant impact. Living in Chicago can lower your transportation expenses.

You will pay $105 for a monthly travel card for buses and trains. This card apply for daily transportation around the town. You will be charged $2.50 for a one-way bus or train ticket.

If you choose to travel by car, you will be subject to a Wheel Tax that is specific to Chicago. By acquiring a Chicago City Vehicle Sticker, you can pay the wheel tax. You could spend anywhere between $90.88 to $144.44 depending on the structure of your car. This program’s revenue goes toward repairing and maintaining the streets.

Additionally, you can completely avoid paying for transportation. Chicago has more than 300 miles of bicycle lanes because it was constructed with bicycling in mind. With a 23-minute commute time on average, the city has the second-highest proportion of commuters who cycle to work.

The Cost of Entertainment and Extras in Chicago

You’ll want to leave the house and tour the city, of course. You should factor entertainment costs into your budget because there are so many music and film competitions, comedy clubs, nightclubs, over 7,300 eateries, and sports events to keep you entertained.

A gym membership might increase your monthly spending by an additional $54.46 and constitute another expense if you desire fitness.

What Kind of Salary Is Necessary Given Chicago’s Cost of Living?

Chicago is among the more reasonably priced metropolitan cities, but your estimated monthly costs can mount up rapidly. Without factoring in rent, a family of four can anticipate monthly expenses of about $3,711.84. Your projected monthly expenses for a single individual total $1,030.86. For a single individual renting a one-bedroom residence, your monthly bill increases to $2,618.86 when rent is added.

Chicago residents make an average salary of $58,247 per year. A one-bedroom condo in Chicago would cost about $43,200 a year, or $21.60 an hour, to comfortably maintain. Paying expenditures could be difficult depending on your work, whether you’re a student or have any debt.

You shouldn’t, on average, spend more than 30% of your salary on rent. Your monthly income, for example, should be $3,600 if your house costs $1,200 per month.

Chicago is an excellent choice if you want to live in a big city without paying the exorbitant rents you would in New York or San Francisco. You still intend to cut your monthly spending in any way you can, of course. We hope that clarifies the query, “How much does it cost to live in Chicago?”

Frequently Asked Questions (FAQs)

1. Which City is More Affordable, California or Chicago?

Though the average pay in California is larger than in Chicago, it is less expensive to live in Chicago. How much less expensive is Chicago? Chicago’s living cost was 18.5% lower than California’s in a salar.com analysis. That represents a big difference!

2. Is living in Chicago Expensive?

Unless you contrast it with other significant American cities like San Francisco and New York. Additionally, home prices are below the national average. Chicago’s typical sales price for a residence is $273,949, which is less than the $295,300 median purchase price for a residence nationally.

Budgeting for a Chicago Move

Getting a fantastic deal on a residence is one of the finest methods to reduce your expenses. Think about partnering with a knowledgeable local realtor who can guide you through the Chicago property market. In addition to advising you on which communities best suit your needs and budget, a knowledgeable realtor can determine if renting or purchasing a home is ideal for your circumstances.

To Sum it Up

We hope we’ve provided you with a good understanding of the living costs in Chicago irrespective of your lifestyle or specific spending. As you can see Chicago isn’t much of an expensive city. Chicago cost of living is 107.4, based on the cost of living index.

We regard ourselves to be authorities in the western suburbs because we have lived there all of our lives. Before coming to the lovely city of Chicago, if you need any assistance analyzing your alternatives, don’t hesitate to get in touch with us. Here is also a link to the cost of living in the Chicago suburbs as a comparison.

Whatever you choose, we wish you the very greatest happiness and financial stability in your new residence.

Have inquiries? Do not hesitate to contact us.