A-
5%
Overall NAT. AVG.
3%
Goods & Services NAT. AVG.
27%
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 Durham North Carolina National
Cost of living10594100
Goods & Services9798100
Groceries10398100
Health care106108100
Housing12785100
Transportation8992100
Utilities8994100

An Overview of Cost of Living in Durham, NC

Getting a feel for the cost of living in Durham is essential for anyone planning to relocate, as it empowers them to make informed financial decisions, secure a comfortable lifestyle and maintain financial stability in their new environment. The cost of living in Durham is 105, which is 5% higher than the national average. Relocating individuals may need to adjust their savings and investment strategies based on the cost of living in the new location. It influences decisions about retirement planning, investments and financial goals.

Everyday expenditures like food, housing, goods and services, transportation and health care in Durham are priced in a manner consistent with other areas. This means that residents of Durham can anticipate their daily expenses remaining reasonably similar to those in an average city, thereby supporting a manageable cost of living.

Housing costs are a major factor in the Durham cost of living index, and they often eat up a big chunk of your take-home pay. Unfortunately, in this area, housing expenses for both homeownership and rentals were 26.8% higher than what's typical in an average city. That includes the prices of homes and rents, as well as mortgage rates and insurance.

What Do Locals Say About the Cost of Living in Durham?

When it comes to knowing a city, its residents are the experts. We conducted a survey with 28 locals to understand their opinions on the cost of living in Durham. The results indicated that 79% found it reasonably priced with decreasing prices of goods and services, while 21% viewed it as quite expensive, with increasing prices.

Is Durham Affordable?

Is Durham affordable? It's a key consideration when pondering a move, as affordability often shapes your choices. The cost of living index (we discussed it earlier), coupled with housing costs and income levels, serves as the cornerstone for determining a location's affordability. Take Durham, for instance, where the median home price falls 31.6% higher than the national average, and monthly rent rates are 15.7% higher than usual. Additionally, median income levels contribute to the equation, with Durham flaunting a median household income of $61,962, 12% higher than the national norm.

What Factors can Influence the Cost of Living in Durham?

Groceries: The costs associated with groceries have witnessed substantial increases over the past 2-3 years. In select markets, food prices have escalated by more than 20% during this timeframe, whereas others have seen more restrained upticks. The variances in food expenses can exert a considerable influence on the overall cost of living in a given locale. In Durham, the groceries index is 2.5% higher than the national average.

Transportation: In areas where public transportation is scarce or unavailable, residents often find themselves compelled to own and upkeep vehicles, thereby increasing the overall cost of living. Monthly expenses encompass fuel, insurance, routine maintenance and potentially lease or financing payments. In Durham, the transportation index is 11.2% lower than the national average.

Taxes: Locations with elevated tax rates, encompassing both sales and income taxes, can be a factor in driving up the cost of living. When you're paying more in taxes for everyday goods and services, it naturally translates into higher expenses. Similarly, a higher income tax rate can also contribute to an overall higher cost of living. In Durham, the standard sales tax rate starts at 4.75%, and the income tax rates commence at 4.99%.

Where is the Data From?

The Durham cost of living data you see above is sourced from the C2ER cost of living index, providing a practical and accurate means of comparing living expenses in urban areas. Updated quarterly, this index gathers data from over 300 independent researchers, covering more than 60 goods and services, in 6 different categories. These selections are made meticulously to represent a wide range of consumer expenditure categories. The weightings applied to cost differences are based on government survey data that tracks spending patterns among professional and executive households. It's important to note that while the C2ER index excludes data on sales or income tax rates, AreaVibes factors 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 Durham is 13% higher than the North Carolina average
  • The cost of living in Durham is 5% higher than the national average
  • Durham housing is 27% higher than the national average
  • North Carolina general sales tax is 7% lower than the national average
  • North Carolina state income tax is 83% higher than the national average

Most Affordable Places to Live in and Around Durham

See all the best places to live around Durham

Compare Durham, NC 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$92,854$7,738$2,166$2,786
      Renters$42,070$3,506$982$1,262
      A good indicator of the general affordability of housing in Durham, NC, is the percentage of monthly income that should be spent on housing expenses, otherwise known as the debt-to-income ratio (DTI). Generally speaking, no more than 28 percent of your total gross income should be spent on your housing expenses and not more than 36 percent of your gross income on total expenses, including debts. In Durham, the median monthly income is $92,854 for those who own their own homes. Under the standard rule, that income level would allow for $2,166 to be budgeted for housing expenses each month, at the most. Renters, on the other hand, earn about $42,070, per the median income in the area. That would allow for renters to spend up to $982 on monthly rental expenses.

      North Carolina Sales Tax

      State General Sales Tax With Max Surtax
      North Carolina 4.75% 7.5%

      North Carolina Income Tax

      State Income Tax (Low) Income Tax (High)
      North Carolina 4.75% 4.75%

      Goods & Services

      Item Durham National avg. Difference
      Haircut $26.10$24.267.6%
      Beauty Salon $53.19$45.5616.7%
      Toothpaste $3.81$3.702.9%
      Shampoo $1.27$1.280.8%
      Movie $12.67$12.134.4%
      Bowling $20.20$18.0012.2%

      Groceries

      Item Durham National avg. Difference
      Ground Beef $6.13$5.844.9%
      Fried Chicken $1.50$1.574.4%
      Milk $4.61$4.671.4%
      Potatoes $5.05$4.932.4%
      Pizza $10.79$12.0910.7%
      Beer $10.35$10.410.6%

      Health Care

      Item Durham National avg. Difference
      Optometrist $113.17$125.6810.0%
      Doctor $146.11$135.787.6%
      Dentist $149.50$113.2932.0%
      Ibuprofen $10.91$10.652.4%
      Lipitor $438.85$468.606.3%

      Housing

      Item Durham National avg. Difference
      Home Price $243,000.00$184,700.0031.6%
      Avg. Mortgage Payment $2,113.73$2,346.699.9%
      Apartment Rent $1,098.00$949.0015.7%

      Transportation

      Item Durham National avg. Difference
      Gasoline $3.36$3.462.9%
      Tire Balancing $50.00$59.9216.6%

      Utilities

      Item Durham National avg. Difference
      All Electricity $191.72$193.991.2%
      Phone $186.28$192.253.1%
      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.
      Efland, NC804918.6%
      Stem, NC1,169927.5%
      Butner, NC7,779955.1%
      Gorman, NC979954.9%
      Creedmoor, NC4,539991.3%
      Durham, NC276,3411055.4%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Toledo, OH275,1168713.2%
      Irvine, CA272,69419898.4%
      Saskatoon, SK281,340n/a 
      Newark, NJ281,91711414.0%
      Chula Vista, CA268,77915656.1%
      Durham, NC276,3411055.4%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.