California cost of living
Moving to a new state is a mix of emotions — it can be full of new possibilities but also challenging and a bit scary. While a fresh start offers exciting opportunities and experiences, it's important to consider the practical side of things, too. Building new friendships, finding support and getting to know your way around takes time.
Moving can also be costly and emotionally draining. Whether you're relocating to California for a job, a change of scenery or any other reason, understanding the cost of living in the state is crucial for a smooth transition.
The median rent in California is $2,442.81, versus the national median rent of $1,529.01.
Jump to insightResidents in California spend $297.72 weekly on food at home and $131.51 on food out.
Jump to insightAs of publishing, the average price per gallon of regular gas is $4.87 in California.
Jump to insightRecent data shows that employees in California pay $1,448 annually for employee-sponsored health insurance coverage.
Jump to insightHousing costs in California
According to recent data from Zillow, the median rent in California is $2,442.81, while the national median rent is $1,529.01.
Data from the U.S. Census Bureau shows rent prices in California broken down by home size. As of publishing, one-bedroom apartments in California had a median cost of $1,640 per month, and the two-bedroom median cost was $1,926 per month. Three- and four-bedroom homes had median costs of $2,183 and $2,573, respectively.
As of publishing, the median home price in California is $848,000, according to Redfin. The U.S. median home price is $436,000.
National Association of Realtors (NAR) data from 2024 zooms in on metro areas in California. It shows that the most expensive home prices in California — and in the country— are in the San Jose-Sunnyvale-Santa Clara metro, where the median sales price reached $1.84 million in the first quarter of 2024.
Homes were slightly less expensive in the San Francisco-Oakland-Hayward and Anaheim-Santa Ana-Irvine metros, but median sales prices were still at $1.3 million and $1.365 million, respectively, there in the first quarter of 2024. The least expensive homes in a larger California metro during that period were in Bakersfield, where the median sales price was $370,300.
California ranks No. 33 for highest effective property tax rates in the nation, according to the most recent Tax Foundation data, at 0.75%.
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Food costs in California
According to recent census data, the average spent weekly on food to prepare at home each week in California is $297.72, compared with the U.S. average of $270.21 at the time. California residents spend an average of $131.51 weekly on food prepared outside the home, compared with the U.S. average of $109.21.
Transportation costs in California
According to recent data from AAA, the average price per gallon of regular gas in California is $4.87, compared with the U.S. average of $3.46.
The most recent National Association of Insurance Commissioners data shows that the average auto insurance premium (liability, collision and comprehensive coverage combined) in California is $1,212.81, versus the national average of $1,189.50.
Public transportation costs
Public transportation is great in California, with three of the state’s cities — San Francisco, Los Angeles and San Diego — making the top 5 in our list of cities with the best public transportation in 2024.
The fare per public transit trip, as of 2022, was $1.63 in San Francisco, 49 cents in Los Angeles and $1.10 in San Diego. Riverside, Sacramento and San Jose also have quality public transportation systems.
Health care costs in California
The most recent KFF data shows that, on average, employer-sponsored health insurance cost California employees $1,448 annually, with employers covering the remaining $6,099 of the $7,547 total cost.
Nationwide, the average employee contribution was $1,637 out of a total premium of $7,590.
Utility costs in California
According to the most recent data from the Energy Information Administration, the average monthly electric bill in California is $138.29, versus $135.25 countrywide.
Recent EIA data also shows that natural gas in California costs $20.43 per thousand cubic feet, compared with $13.25 nationally.
FAQ
Does California have a high cost of living?
According to our 2023 cost of living analysis, California had the second-highest cost of living in the country, after Hawaii.
What are the most expensive cities in California?
According to 2024 NAR data, the San Jose-Sunnyvale-Santa Clara metro area had the highest median home price in the first quarter of 2024.
Do I need a new driver’s license when moving to California?
Yes, you’ll need to update your license within 10 days of moving to California.
Article sources
ConsumerAffairs writers primarily rely on government data, industry experts and original research from other reputable publications to inform their work. Specific sources for this article include:
- Zillow, “Housing Data.” Accessed May 14, 2024.
- Redfin, "Redfin Data Center." Accessed May 14, 2024.
- Tax Foundation, "Where Do People Pay the Most in Property Taxes?" Accessed May 14, 2024.
- United States Census Bureau, "Week 63 Household Pulse Survey: October 18 - October 30." Accessed May 14, 2024.
- AAA Gas Prices, "State Gas Price Averages." Accessed June 14, 2024.
- National Association of Insurance Commissioners, "2020/2021 Auto Insurance Database Report." Accessed May 14, 2024.
- KFF, "Average Annual Single Premium per Enrolled Employee For Employer-Based Health Insurance." Accessed May 14, 2024.
- U.S. Energy Information Administration, "2022 Average Monthly Bill- Residential." Accessed May 14, 2024.
