F
103%
Overall NAT. AVG.
8%
Goods & Services NAT. AVG.
304%
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 Santa Cruz California National
Cost of living203140100
Goods & Services108111100
Groceries115112100
Health care123109100
Housing404196100
Transportation130126100
Utilities132127100

An Overview of Cost of Living in Santa Cruz, CA

The cost of living in Santa Cruz affects the quality of life one can afford in this new location. It allows people to assess whether they can maintain their preferred lifestyle, including housing, leisure activities and dining options. Your total monthly expenditures can varry depending on the area, as well as many other factors. The cost of living in Santa Cruz is 203, which is 103% higher than the national average. Knowledge of the cost of living can help individuals make informed decisions about retirement savings, investments, and financial goals.

If you value affordability in your search for a new place to live, Santa Cruz may not be the most suitable option, as it stands out as one of the priciest areas in the entire United States. Only a small fraction of regions have a cost of living that is more than 20% higher than the national average, and regrettably, Santa Cruz falls into this category, which may not align with your desire for an affordable place to call home.

Housing costs make up a big chunk of the cost of living in Santa Cruz, and they usually eat into a large part of your take-home pay. Unfortunately, in this area, both buying a home and renting one costs 303.9% more than the average city. This includes stuff like home prices, rent, mortgage rates, and insurance.

The relentless increase in grocery prices is a noteworthy trend. In the last two years, grocery costs have experienced an upward trajectory of over 10%. Unfortunately, Santa Cruz is no exception, where grocery prices are 14.5% above the national average.

What Do Locals Say About the Cost of Living in Santa Cruz?

Locals have the inside scoop on their city. So, we polled 24 residents in Santa Cruz to learn how they view the cost of living. We asked how they felt about the cost of living in their area, and if they thought that prices were increasing, decreasing or staying the same. The verdict? 29% find it reasonable with decreasing prices, but 71% think it's quite pricey, with prices that continue to rise.

Is Santa Cruz Affordable?

Is Santa Cruz 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 Santa Cruz, the median home price is 385% higher than the national average and monthly rent prices are 114.8% higher than the typical rates. Additionally, the median income levels play a role in affordability, with Santa Cruz boasting a median household income of $86,618, 56.6% higher than the national average.

What Factors can Influence the Cost of Living in Santa Cruz?

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 cities and states may extend government subsidies or aid programs aimed at reducing the cost of living for their residents. These initiatives encompass diverse forms of support, 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 farm subsidies. Regions with limited subsidy provisions may witness an increase in their overall cost of living.

Housing: When there's a high demand for housing in trendy places, it can cause property prices and rental rates to soar, leading to a significantly higher cost of living. Conversely, in less desirable locations, where demand is low, prices tend to decrease, resulting in a more budget-friendly cost of living. In Santa Cruz, the housing index is 303.9% higher than the national average.

Where is the Data From?

The Santa Cruz 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. The index takes into account data from 300 independent researches, covering more than 60 goods and services across 6 different categories, to create an overall index for each area, with 100 being the average. The C2ER index does not include sales or income tax rates in their data, however AreaVibes does include both income and sales tax rates in the overall cost of living score for each area.

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Cost Of Living Quick Facts

  • The cost of living in Santa Cruz is 45% higher than the California average
  • The cost of living in Santa Cruz is 103% higher than the national average
  • Santa Cruz housing is 304% higher than the national average
  • California general sales tax is 42% higher than the national average
  • California state income tax is 61% lower than the national average

Most Affordable Places to Live in and Around Santa Cruz

See all the best places to live around Santa Cruz

Compare Santa Cruz, CA Cost of Living

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      Salary Calculator

      This is how much you would need to earn in
      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$126,202$10,517$2,945$3,786
      Renters$54,609$4,551$1,274$1,638
      The percentage of monthly income spent on housing related expenses can help predict the affordability of housing in Santa Cruz, CA, as well as what the overall cost of living might be. Generally, a good rule to follow is that the debt-to-income (DTI) level you want to maintain is 28 percent or less of your income on your rent or mortgage payments and not more than 36 percent of income on all expenses and debts. In Santa Cruz, homeowners have a median income of $126,202. Using that number, a maximum of $2,945 per month should be allocated to housing expenses. For those who are renting instead of owning, the median income is $54,609, which means there is a maximum of $1,274 to be spent on the costs of renting a home or apartment.

      California Sales Tax

      State General Sales Tax With Max Surtax
      California 7.25% 10.5%

      California Income Tax

      State Income Tax (Low) Income Tax (High)
      California 1% 13.3%

      Goods & Services

      Item Santa Cruz National avg. Difference
      Haircut $33.94$24.2639.9%
      Beauty Salon $48.51$45.566.5%
      Toothpaste $3.72$3.700.4%
      Shampoo $1.66$1.2829.9%
      Movie $13.31$12.139.7%
      Bowling $33.30$18.0085.0%

      Groceries

      Item Santa Cruz National avg. Difference
      Ground Beef $5.79$5.840.8%
      Fried Chicken $2.13$1.5735.7%
      Milk $5.05$4.678.2%
      Potatoes $4.77$4.933.4%
      Pizza $14.92$12.0923.5%
      Beer $10.99$10.415.6%

      Health Care

      Item Santa Cruz National avg. Difference
      Optometrist $158.95$125.6826.5%
      Doctor $194.05$135.7842.9%
      Dentist $147.78$113.2930.4%
      Ibuprofen $11.51$10.658.1%
      Lipitor $390.15$468.6016.7%

      Housing

      Item Santa Cruz National avg. Difference
      Home Price $895,800.00$184,700.00385.0%
      Avg. Mortgage Payment $8,581.10$2,346.69265.7%
      Apartment Rent $2,038.00$949.00114.8%

      Transportation

      Item Santa Cruz National avg. Difference
      Gasoline $4.81$3.4638.9%
      Tire Balancing $65.62$59.929.5%

      Utilities

      Item Santa Cruz National avg. Difference
      All Electricity $294.74$193.9951.9%
      Phone $190.07$192.251.1%
      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.
      Moss Landing, CA3111716.8%
      Live Oak city, CA8,5011066.5%
      Live Oak, CA8,79411717.0%
      Paradise Park, CA46813535.1%
      Freedom, CA3,95914848.2%
      Santa Cruz, CA65,011203102.9%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Harlingen, TX65,0287723.3%
      Wellington, FL64,99013737.5%
      Laguna Niguel, CA65,04819897.7%
      Blaine, MN65,0481098.7%
      Bethesda, MD65,09220099.5%
      Santa Cruz, CA65,011203102.9%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.