Cost of Living in Lexington, SC

An Overview of Cost of Living in Lexington, SC

Knowing the cost of living in Lexington 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 Lexington stands at 103, marking it 3% higher than the national average.

In Lexington, daily expenses such as food, housing, goods and services, transportation and health care are in line with comparable areas and about average when compared to all cities across the nation. This ensures that the cost of living in Lexington will resemble that of an average city, contributing to a manageable cost of living.

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

Nobody knows their city better than the people who actually live there. So, we asked 9 local residents how they would rate the cost of living in Lexington and this is how they responded. 56% of people said that the cost of living was affordable, with prices decreasing, while 44% of people said that the cost of living was very expensive and prices continue to rise.

Is Lexington Affordable?

Is Lexington affordable? This is a pivotal question, especially when mulling over a move, as affordability carries substantial weight in your decision-making process. Factors such as the cost of living index (discussed earlier), housing expenses and income levels all contribute to a location's affordability. For instance, in Lexington, the median home price is 8% higher than the national average and monthly rent prices are 13.8% higher than the typical rates. Additionally, the median income levels play a role in affordability, with Lexington boasting a median household income of $71,850, 29.9% higher than the national average.

What Factors can Influence the Cost of Living in Lexington?

Subsidies: Certain cities or states may implement government subsidies or assistance programs with the goal of alleviating the cost of living pressures on their residents. These programs encompass a broad spectrum of support mechanisms, including 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 farming subsidies. Areas offering fewer subsidies may experience a rise in their cost of living.

Groceries: Grocery expenditures have undergone notable escalation over the last 2-3 years. In some markets, the cost of food products has surged by more than 20%, while others have experienced only modest increments. These fluctuations in food costs can have a significant impact on the overall cost of living in any region. In Lexington, the groceries index registers 1% lower than the national average.

Transportation: In situations where public transportation is limited or nonexistent, local residents may be required to own and maintain their own vehicles, contributing to an elevated cost of living. Monthly expenditures may encompass fuel costs, insurance premiums, routine vehicle upkeep and possibly lease or financing payments. In Lexington, the transportation index is 18.5% lower than the national average.

Where is the Data From?

The cost of living in Lexington, presented above is derived from the C2ER cost of living index, offering a practical method for assessing living cost disparities in urban areas. Published quarterly, this index compiles data from more than 300 independent researchers, encompassing over 60 goods and services in 6 categories. The weightings assigned to cost variances are informed by government survey data tracking the expenditure patterns of professional and executive households. It should be noted that the C2ER index does not include data on sales or income tax rates, however, AreaVibes incorporates tax rates into the overall cost of living score for each area.