Cost of Living in Lafayette, LA

An Overview of Cost of Living in Lafayette, LA

Knowing the cost of living in Lafayette 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 Lafayette stands at 98, marking it 2% lower than the national average.

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

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

The real experts on a city are its residents. That's why we reached out to 8 locals to get their views on the cost of living in Lafayette. We surveyed the residents and asked them if they felt like prices were affordable or out of reach. The results were as follows. 25% found it budget-friendly with decreasing prices, while 75% said it's simply not affordable as prices have continued to rise.

Is Lafayette Affordable?

Is Lafayette 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 Lafayette is 7.1% higher than the national average, while the average monthly rent prices are 5.3% lower than average. The affordability of any location can also be influenced by median income levels. Lafayette has a median household income of $54,139, which is 2.1% lower than the national average.

What Factors can Influence the Cost of Living in Lafayette?

Transportation: If public transportation is limited or not available, residents may need to own and maintain vehicles, which can add to the cost of living. Gas, insurance, regular maintenance and potentially lease or finance payments will all need to be paid on a monthly basis. In Lafayette, the transportation index is 5.8% lower than the national average.

Taxes: Areas with higher taxes, including sales taxes and income taxes, can contribute to a higher cost of living. Paying more tax for everyday goods and services like clothing and food will result in higher costs, as will paying a higher rate of income tax. The general sales tax rate in Lafayette starts at 4.45% and the income tax rates start at 1.85%.

Housing: A sought-after location with high housing demand often leads to increased property values and rental rates, which can significantly inflate the overall cost of living. Conversely, areas with low housing demand, particularly in less desirable locales, tend to experience the opposite effect, causing prices to drop and contributing to a more affordable cost of living. In Lafayette, the housing index stands at 3.4% higher than the national average.

Where is the Data From?

The cost of living data in Lafayette displayed above is sourced from the C2ER cost of living index, which serves as a practical tool for comparing living expenses across urban areas. Published on a quarterly basis, this index aggregates data from over 300 independent researchers, encompassing more than 60 goods and services, in 6 different categories. The weightings assigned to cost differences rely on government survey data that tracks the spending habits of professional and executive households. It's worth noting that the C2ER index excludes data on sales or income tax rates, while AreaVibes integrates tax rates into the overall cost of living evaluation for each region.