Cost of Living by State 2025: Where Can Your Dollar Go Further?

The cost of living in the US has been rising, leaving many trying to find ways to keep up. Even then, a comparison of state living expenses shows that big differences still exist between one region and the next.

Moving to another state isn’t always as easy as moving money around the world with Remitly. Before making the shift, you have to compare income, mortgages, gas prices, childcare costs, and other essentials. Health insurance and local taxes are other important considerations that could drastically affect your way of life. So, let’s take a look at the most expensive and most affordable states to live in 2025.

What determines the cost of living in the US?

As mentioned, calculating the cost of living in different states isn’t always easy. But accounting for factors like housing, groceries, transportation, utility, and healthcare costs will put you on the right track.

Housing: Often one of the most expensive bills you’ll have, whether you’re renting or paying a mortgage.
Transportation: Public transportation fees vary between cities. Transport costs also include vehicle maintenance and gas.
Healthcare: Besides federal and state-run health insurance schemes, private insurance is the most common.
Groceries: The cost of food and other essentials can significantly impact your monthly budget.
Utilities: Electricity, water, Internet charges, and phone bills can change based on your state and even climate. For example, heating costs more in Minnesota than in Texas.

State comparisons: cost of living by state 2025

Curious to know how each state ranks in cost of living trends in 2025? Here’s how they break down across every region in the US.

Northeastern United States

Connecticut

Average rent: $2,095 USD, compared to a national average of $2,100 USD.
Average house purchase price: $426,000 USD, compared to the national average of $438,000 USD.
Price for a gallon of milk: $2.81 USD against a national average of $4.33.
Price for a gallon of gas: $3.12 USD compared to a national average of $3.18 USD.
Average utility bill: $463 USD, with a national average of $609 USD.
Average healthcare cost: $12,499 USD against a national average of $13,432 USD per capita.

Maine

Average rent: $1,700 USD
Average house purchase price: $382,580 USD
Price for a gallon of milk: $4.08 USD
Price for a gallon of gas: $3.06 USD
Average utility bill: $500 USD
Average healthcare cost: $12,077 USD

Massachusetts

Average rent: $3,300 USD
Average house purchase price: $596,410 USD
Price for a gallon of milk: $2.80 USD
Price for a gallon of gas: $3.01 USD
Average utility bill: $404 USD
Average healthcare cost: $13,319 USD

New Hampshire

Average rent: $1,750 USD
Average house purchase price: $454,948 USD
Price for a gallon of milk: $2.77 USD
Price for a gallon of gas: $2.91 USD
Average utility bill: $386 USD
Average healthcare cost: $11,793 USD

Rhode Island

Average rent: $1,800 USD
Average house purchase price: $438,711 USD
Price for a gallon of milk: $2.77 USD
Price for a gallon of gas: $3.01 USD
Average utility bill: $360 USD
Average healthcare cost: $11,694 USD

Vermont

Average rent: $1,500 USD
Average house purchase price: $373,001 USD
Price for a gallon of milk: $2.88 USD
Price for a gallon of gas: $3.10 USD
Average utility bill: $428 USD
Average healthcare cost: $12,756 USD

New Jersey

Average rent: $2,500 USD
Average house purchase price: $503,432 USD
Price for a gallon of milk: $3.82 USD
Price for a gallon of gas: $3.06 USD
Average utility bill: $467 USD
Average healthcare cost: $11,868 USD

New York

Average rent: $3,200 USD
Average house purchase price: $453,138 USD
Price for a gallon of milk: $2.73 USD
Price for a gallon of gas: $3.13 USD
Average utility bill: $384 USD
Average healthcare cost: $14,007 USD

Pennsylvania

Average rent: $1,350 USD
Average house purchase price: $255,570 USD
Price for a gallon of milk: $4.28 USD
Price for a gallon of gas: $3.29 USD
Average utility bill: $336 USD
Average healthcare cost: $11,603 USD

The Midwest

Illinois

Average rent: $1,700 USD
Average house purchase price: $251,267 USD
Price for a gallon of milk: $2.67 USD
Price for a gallon of gas: $3.42 USD
Average utility bill: $340 USD
Average healthcare cost: $10,190 USD

Indiana

Average rent: $1,300 USD
Average house purchase price: $231,533 USD
Price for a gallon of milk: $2.57 USD
Price for a gallon of gas: $3.21 USD
Average utility bill: $300 USD
Average healthcare cost: $10,517 USD

Michigan

Average rent: $1,200 USD
Average house purchase price: $232,511 USD
Price for a gallon of milk: $2.64 USD
Price for a gallon of gas: $3.20 USD
Average utility bill: $320 USD
Average healthcare cost: $9,897 USD

Ohio

Average rent: $1,200 USD
Average house purchase price: $217,698 USD
Price for a gallon of milk: $2.60 USD
Price for a gallon of gas: $3.04 USD
Average utility bill: $369 USD
Average healthcare cost: $10,478 USD

Wisconsin

Average rent: $1,050 USD
Average house purchase price: $286,394 USD
Price for a gallon of milk: $2.72 USD
Price for a gallon of gas: $3.04 USD
Average utility bill: $356 USD
Average healthcare cost: $9,982 USD

Iowa

Average rent: $1,200 USD
Average house purchase price: $208,755 USD
Price for a gallon of milk: $2.74 USD
Price for a gallon of gas: $2.96 USD
Average utility bill: $331 USD
Average healthcare cost: $9,789 USD

Kansas

Average rent: $1300 USD
Average house purchase price: $217,315 USD
Price for a gallon of milk: $3.20 USD
Price for a gallon of gas: $2.90 USD
Average utility bill: $361 USD
Average healthcare cost: $9,408 USD

Minnesota

Average rent: $1,300 USD
Average house purchase price: $323,034 USD
Price for a gallon of milk: $2.73 USD
Price for a gallon of gas: $3.03 USD
Average utility bill: $294 USD
Average healthcare cost: $10,846 USD

Missouri

Average rent: $1,250 USD
Average house purchase price: $238,125 USD
Price for a gallon of milk: $3.67 USD
Price for a gallon of gas: $2.85 USD
Average utility bill: $284 USD
Average healthcare cost: $9,921 USD

Nebraska

Average rent: $1,285 USD
Average house purchase price: $289,000 USD
Price for a gallon of milk: $2.55 USD
Price for a gallon of gas: $3.25 USD
Average utility bill: $550 USD
Average healthcare cost: $10,514 USD

North Dakota

Average rent: $1,077 USD
Average house purchase price: $281,000 USD
Price for a gallon of milk: $3.53 USD
Price for a gallon of gas: $3.29 USD
Average utility bill: $550 USD
Average healthcare cost: $11,301 USD

South Dakota

Average rent: $1,100 USD
Average house purchase price: $292,551 USD
Price for a gallon of milk: $2.92 USD
Price for a gallon of gas: $2.98 USD
Average utility bill: $278 USD
Average healthcare cost: $12,495 USD

Southern US

Delaware

Average rent: $1,646 USD
Average house purchase price: $352,000 USD
Price for a gallon of milk: $2.67 USD
Price for a gallon of gas: $3.44 USD
Average utility bill: $583 USD
Average healthcare cost: $12,899 USD

Florida

Average rent: $1,955 USD
Average house purchase price: $412,000 USD
Price for a gallon of milk: $3.05 USD
Price for a gallon of gas: $3.34 USD
Average utility bill: $583 USD
Average healthcare cost: $9,856 USD

Georgia

Average rent: $1,646 USD
Average house rental price: $352,000 USD
Price for a gallon of milk: $2.67 USD
Price for a gallon of gas: $3.44 USD
Average utility bill: $583 USD
Average healthcare cost: $12,899 USD

Maryland

Average rent: $1,859 USD
Average house purchase price: $415,000 USD
Price for a gallon of milk: $2.64 USD
Price for a gallon of gas: $3.55 USD
Average utility bill: $583 USD
Average healthcare cost: $10,839 USD

North Carolina

Average rent: $1,859 USD
Average house purchase price: $415,000 USD
Price for a gallon of milk: $2.64 USD
Price for a gallon of gas: $3.55 USD
Average utility bill: $583 USD
Average healthcare cost: $10,839 USD

South Carolina

Average rent: $1,594 USD
Average house purchase price: $381,000 USD
Price for a gallon of milk: $2.80 USD
Price for a gallon of gas: $3.13 USD
Average utility bill: $583 USD
Average healthcare cost: $8,766

Virginia

Average rent: $1,972 USD
Average house purchase price: $444,000 USD
Price for a gallon of milk: $2.99 USD
Price for a gallon of gas: $3.37 USD
Average utility bill: $583 USD
Average healthcare cost: $9,195 USD

West Virginia

Average rent: $1,275 USD
Average house purchase price: $249,000 USD
Price for a gallon of milk: $2.62 USD
Price for a gallon of gas: $3.42 USD
Average utility bill: $692 USD
Average healthcare cost: $12,769 USD

Alabama

Average rent: $1,288 USD
Average house purchase price: $281,000 USD
Price for a gallon of milk: $3.29 USD
Price for a gallon of gas: $3.14 USD
Average utility bill: $575 USD
Average healthcare cost: $9,280 USD

Kentucky

Average rent: $1,287 USD
Average house purchase price: $263,000 USD
Price for a gallon of milk: $2.70 USD
Price for a gallon of gas: $3.20 USD
Average utility bill: $583 USD
Average healthcare cost: $10,257 USD

Mississippi

Average rent: $1,305 USD
Average house purchase price: $253,000 USD
Price for a gallon of milk: $3.47 USD
Price for a gallon of gas: $2.97 USD
Average utility bill: $583 USD
Average healthcare cost: $9,394 USD

Tennessee

Average rent: $1,494 USD
Average house purchase price: $380,000 USD
Price for a gallon of milk: $3.05 USD
Price for a gallon of gas: $3.06 USD
Average utility bill: $583 USD
Average healthcare cost: $9,336 USD

Arkansas

Average rent: $1,093 USD
Average house purchase price: $253,000 USD
Price for a gallon of milk: $3.35 USD
Price for a gallon of gas: $2.99 USD
Average utility bill: $550 USD
Average healthcare cost: $9,338 USD

Louisiana

Average rent: $1,235 USD
Average house purchase price: $249,000 USD
Price for a gallon of milk: $3.84 USD
Price for a gallon of gas: $3.06 USD
Average utility bill: $583 USD
Average healthcare cost: $10,515 USD

Oklahoma

Average rent: $1,035 USD
Average house purchase price: $244,000 USD
Price for a gallon of milk: $3.16 USD
Price for a gallon of gas: $3.00 USD
Average utility bill: $550 USD
Average healthcare cost: $9,444 USD

Texas

Average rent: $1,449 USD
Average house purchase price: $338,000 USD
Price for a gallon of milk: $2.81 USD
Price for a gallon of gas: $3.01 USD
Average utility bill: $583 USD
Average healthcare cost: $8,406 USD

Western US

Arizona

Average rent: $1,575 USD
Average house purchase price: $455,000 USD
Price for a gallon of milk: $2.46 USD
Price for a gallon of gas: $3.73 USD
Average utility bill: $550 USD
Average healthcare cost: $8,756 USD

Colorado

Average rent: $1,884 USD
Average house purchase price: $582,000 USD
Price for a gallon of milk: $3.09 USD
Price for a gallon of gas: $3.27 USD
Average utility bill: $583 USD
Average healthcare cost: $8,583 USD

Idaho

Average rent: $1,607 USD
Average house purchase price: $485,000 USD
Price for a gallon of milk: $2.96 USD
Price for a gallon of gas: $3.66 USD
Average utility bill: $583 USD
Average healthcare cost: $8,148 USD

Montana

Average rent: $1,605 USD
Average house purchase price: $523,000 USD
Price for a gallon of milk: $3.12 USD
Price for a gallon of gas: $3.43 USD
Average utility bill: $550 USD
Average healthcare cost: $10,212 USD

Nevada

Average rent: $1,525
Average house purchase price: $455,000 USD
Price for a gallon of milk: $2.84 USD
Price for a gallon of gas: $4.14 USD
Average utility bill: $600 USD
Average healthcare cost: $8,348 USD

New Mexico

Average rent: $1,389 USD
Average house purchase price: $357,000 USD
Price for a gallon of milk: $2.82 USD
Price for a gallon of gas: $3.24 USD
Average utility bill: $583 USD
Average healthcare cost: $8,902 USD

Utah

Average rent: $1,597 USD
Average house purchase price: $548,000 USD
Price for a gallon of milk: $2.55 USD
Price for a gallon of gas: $3.50 USD
Average utility bill: $583 USD
Average healthcare cost: $7,522 USD

Wyoming

Average rent: $1,332 USD
Average house purchase price: $484,000 USD
Price for a gallon of milk: $3.07 USD
Price for a gallon of gas: $3.31 USD
Average utility bill: $550 USD
Average healthcare cost: $10,989 USD

Alaska

Average rent: $1,482 USD
Average house purchase price: $383,000 USD
Price for a gallon of milk: $4.02 USD
Price for a gallon of gas: $4.05 USD
Average utility bill: $583 USD
Average healthcare cost: $13,642

California

Average rent: $2,587 USD
Average house purchase price: $833,000 USD
Price for a gallon of milk: $3.50 USD
Price for a gallon of gas: $4.96 USD
Average utility bill: $600 USD
Average healthcare cost: $10,299 USD

Hawaii

Average rent: $2,668 USD
Average house purchase price: $743,000 USD
Price for a gallon of milk: $5.98 USD
Price for a gallon of gas: $4.76 USD
Average utility bill: $756 USD
Average healthcare cost: $10,291 USD

Oregon

Average rent: $1,757 USD
Average house purchase price: $505,000 USD
Price for a gallon of milk: $3.31 USD
Price for a gallon of gas: $4.17 USD
Average utility bill: $600 USD
Average healthcare cost: $10,071 USD

Washington

Average rent: $2,020 USD
Average house purchase price: $630,000 USD
Price for a gallon of milk: $3.07 USD
Price for a gallon of gas: $4.43 USD
Average utility bill: $600 USD
Average healthcare cost: $9,265 USD

The least and most affordable states to live in 2025

Here are the most expensive and most affordable states in America in order, according to the US Census and World Population Review.

Most affordable states

West Virginia
Oklahoma
Kansas
Mississippi
Alabama

Least affordable states

Hawaii
Massachusetts
California
Alaska
New York

Key trends for 2025

Housing is a big driver of the cost of living, and national home prices are projected to flatten or even decline in 2025. States with a lot of inward migration, like Idaho and South Carolina, may become more expensive due to demand.

Healthcare spending is expected to keep rising above inflation, pushing the cost of living higher. The price of gas is projected to come down, but natural gas may get more expensive, increasing electricity bills around the US.

FAQs

Which state in the US has the lowest cost of living?

West Virginia has the lowest cost of living in the country, driven mostly by cheap housing. The average rent is around $1,275 USD per month, well below the national average.

What state is best for low-income demographics?

Oklahoma combines low housing costs, relatively affordable utilities, and a comfortable cost of living, making it more than 14% cheaper than the national average.

What is the least affordable state to live in?

Hawaii is the most unaffordable state in the US in 2025, with a cost of living that is nearly double the national average. Housing is the biggest expense, costing more than three times the national average, but groceries, utilities, and transportation are all expensive, too.