A-
1%
Overall NAT. AVG.
6%
Goods & Services NAT. AVG.
7%
Housing NAT. AVG.
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Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.
The cost of living index is based on a national average of 100. For example, if the cost of living is 90, then it is 10% lower than average. If the cost of living is 110, then it is 10% higher than average. The breakdown for each index is as follows: goods & services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). If the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
Index Cambridge Maryland National
Cost of living99119100
Goods & Services106106100
Groceries100106100
Health care10497100
Housing93150100
Transportation9898100
Utilities95111100

An Overview of Cost of Living in Cambridge, MD

Knowing the cost of living in Cambridge allows individuals to create a realistic budget. This helps them understand how their income will cover expenses and whether they need to make financial adjustments. The cost of living in any region can fluctuate due to various factors. To assess the cost of living consistently across different areas, a national average of 100 serves as the basis for the cost of living index. The cost of living in Cambridge stands at 99, marking it 1% lower than the national average.

The cost of living in Cambridge aligns closely with the national average when compared to other cities across the nation. Everyday essentials such as groceries, goods and services, health care and utility bills are priced at a level consistent with the average in similar urban areas. Cambridge residents can anticipate that their daily expenses won't be significantly higher than those in an average city, ensuring that the cost of living remains manageable.

Is Cambridge Affordable?

Is Cambridge an affordable place to live? It's a good question and one that you might want to ask when considering any new city, as affordability can play a huge role in the decision making process. The cost of living index (which we covered above), as well as housing costs and income levels play a vital role in determining the affordability of an area. The median home price in Cambridge is 5.9% lower than the national average, while the average monthly rent prices are 10.7% lower than average. The affordability of any location can also be influenced by median income levels. Cambridge has a median household income of $39,063, which is 29.4% lower than the national average.

What Factors can Influence the Cost of Living in Cambridge?

Urbanization: Larger, urban hubs brimming with ample amenities and robust employment opportunities often showcase a heightened cost of living. This surge is primarily attributed to the amplified demand for services and increased residential migration, culminating in elevated home prices and elevated rental rates. Conversely, less densely populated rural locales or regions characterized by reduced demand tend to offer a more limited array of amenities and undergo slower job market growth, ultimately yielding a more affordable cost of living.

Subsidies: Some areas might offer government subsidies or assistance programs that help lower cost of living for residents. These programs can include anything from Medicare, Medicaid, housing subsidies, low-income home energy assistance programs, school lunch programs, supplemental nutrition assistance programs, student loans, electric vehicle tax credits, affordable care act subsidies and crop subsidies. Areas that offer less subsidies, could see an increase in their cost of living.

Healthcare: Healthcare costs and insurance premiums can fluctuate greatly based on the city or state. Access to healthcare facilities, out-of-pocket expenses for doctor\’s visits, dentist costs, medication costs and specialized care costs can all impact the cost of living. In Cambridge, the healthcare costs are 3.6% higher than the national average.

Where is the Data From?

The Cambridge cost of living data displayed above is derived from the C2ER cost of living index to provide a useful and reasonably accurate measure of living cost differences in urban areas. Published on a quarterly basis, it compiles data from more than 300 independent researchers, encompassing over 60 goods and services. These items have been meticulously selected to represent various consumer expenditure categories, in 6 categories. Weightings assigned to cost differentials draw from government survey data tracking spending patterns among professional and executive households. While the C2ER index excludes data on sales or income tax rates, AreaVibes incorporates tax rates into the overall cost of living score for each region.

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Cost Of Living Quick Facts

  • The cost of living in Cambridge is 16% lower than the Maryland average
  • The cost of living in Cambridge is 1% lower than the national average
  • Cambridge housing is 7% lower than the national average
  • Maryland general sales tax is 18% higher than the national average
  • Maryland state income tax is 23% lower than the national average

Most Affordable Places to Live in and Around Cambridge

See all the best places to live around Cambridge

Compare Cambridge, MD Cost of Living

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      Salary Calculator

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      Price difference in compared to
      Cost of living index
      Goods & Services index
      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median Income Per Year Per Month Max Budget (28% DTI) Max Budget (36% DTI)
      Owners$68,271$5,689$1,593$2,048
      Renters$26,075$2,173$608$782
      The percent of monthly income spent on housing can be a good indicator of the affordability of housing in Cambridge, MD, as well as the overall cost of living. As a general rule of thumb, the debt-to-income ratio (DTI) for homeowners or renters should be not more than 28 percent of gross income to be spent on housing related costs and not more than 36 percent of income on all expenses, including debts. The median income for Cambridge homeowners, is $68,271. This would allow for a maximum of $1,593 per month to be spent on housing costs. For renters, the median monthly income is $26,075 which would result in a maximum of $608 to be spent on rental costs.

      Maryland Sales Tax

      State General Sales Tax With Max Surtax
      Maryland 6% 6%

      Maryland Income Tax

      State Income Tax (Low) Income Tax (High)
      Maryland 2% 5.75%

      Goods & Services

      Item Cambridge National avg. Difference
      Haircut $29.11$24.2620.0%
      Beauty Salon $52.88$45.5616.1%
      Toothpaste $3.76$3.701.6%
      Shampoo $1.20$1.286.5%
      Movie $13.93$12.1314.8%
      Bowling $23.28$18.0029.3%

      Groceries

      Item Cambridge National avg. Difference
      Ground Beef $5.47$5.846.3%
      Fried Chicken $1.34$1.5714.8%
      Milk $4.61$4.671.3%
      Potatoes $5.39$4.939.2%
      Pizza $12.81$12.096.0%
      Beer $10.53$10.411.1%

      Health Care

      Item Cambridge National avg. Difference
      Optometrist $144.11$125.6814.7%
      Doctor $139.66$135.782.9%
      Dentist $132.33$113.2916.8%
      Ibuprofen $10.65$10.650.0%
      Lipitor $369.07$468.6021.2%

      Housing

      Item Cambridge National avg. Difference
      Home Price $173,800.00$184,700.005.9%
      Avg. Mortgage Payment $2,380.70$2,346.691.4%
      Apartment Rent $847.00$949.0010.7%

      Transportation

      Item Cambridge National avg. Difference
      Gasoline $3.40$3.461.7%
      Tire Balancing $57.32$59.924.3%

      Utilities

      Item Cambridge National avg. Difference
      All Electricity $182.13$193.996.1%
      Phone $182.79$192.254.9%
      Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.

      Nearby cities with low cost of living

      City Population Cost of Living Index National Avg.
      Taylors Island, MD831099.3%
      Hurlock, MD2,390946.1%
      East New Market, MD323973.0%
      Secretary, MD4971000.4%
      Church Creek, MD751021.9%
      Cambridge, MD12,300990.8%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Belmont, NC12,2921077.2%
      Ottawa, KS12,3088613.8%
      West Plains, MO12,2908020.4%
      Effingham, IL12,3108317.4%
      Viera East, FL12,28411313.4%
      Cambridge, MD12,300990.8%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.