Maryland Cost of Living
Can you afford to live in the Old Line State?
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Relocating to Maryland brings a unique blend of East Coast charm, career opportunities and access to both bustling cities and scenic shorelines. But before you settle into life in the Chesapeake Bay region, it’s important to get a clear picture of what everyday living will actually cost.
To determine the cost of living in Maryland, our team reviewed data from the U.S. Bureau of Economic Analysis to understand average spending. We also used recent sources to gather housing, food, transportation, health care and utility costs for a full picture of everyday expenses.
People in Maryland spend $56,052 each year on goods and services, on average.
Jump to insightThe median rent in Maryland is $1,680, versus the national median rent of $1,639.
Jump to insightResidents in Maryland spend $266.11 weekly on food at home.
Jump to insightAs of August 2025, the average price per gallon of regular gas is $3.10 in Maryland.
Jump to insightRecent data shows that employees in Maryland pay $2,119 annually for employee-sponsored health insurance coverage.
Jump to insightThe average cost of living in Maryland
According to the U.S. Bureau of Economic Analysis (BEA), the average annual per-person spending in Maryland was $56,052 in 2023. This figure reflects the value of what residents consume each year across housing, health care, food, gas and energy, and other goods and services.
Here’s a breakdown of the largest spending categories in Maryland:
| Category | Annual per-capita cost in Maryland |
|---|---|
| Housing and utilities | $10,839 |
| Health care | $8,838 |
| Food and beverages for off-premises consumption | $3,832 |
| Gasoline and other energy goods | $1,263 |
| All other personal consumption expenditures | $31,280 |
| Total cost | $56,052 |
Housing costs in Maryland
Housing is the largest monthly expense for most Maryland residents. As of 2025, the average rent in Maryland is $1,680, which is slightly more than the national average of $1,639. Rental costs depend heavily on your location, with prices rising in the Baltimore-Washington corridor and coastal areas. According to the U.S. Census Bureau’s 2023 American Community Survey, average monthly rents in Maryland are as follows:
- One-bedroom rent: $1,379
- Two-bedroom rent: $1,679
- Three-bedroom rent: $1,875
- Four-bedroom rent: $2,205
For those interested in buying, the median home price in Maryland is $462,900, which is also slightly more than the U.S. median of $446,638. Property taxes play a role in total housing costs — Maryland’s effective property tax rate is 0.9%, placing it at No. 22 for highest effective property tax rates in the U.S.
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Food costs in Maryland
Grocery spending in Maryland reflects both regional food prices and family habits. On average, Maryland households spend $266.11 per week on food for meals prepared at home. The U.S. average is $270.21.
Your grocery and dining expenses can vary widely depending on your shopping preferences. People who cook most meals at home and shop at discount grocers often spend less, while eating out — especially in busy metro areas like Baltimore — tends to drive costs up quickly.
Smaller towns and rural communities may offer more affordable options, but selection can be limited.
Transportation costs in Maryland
Transportation expenses in Maryland are influenced by commuting patterns and the cost of driving. The average price per gallon of regular gas in Maryland is $3.10, which is near the national average of $3.13.
For drivers, another key expense is insurance. Maryland’s average auto insurance premium (including liability, collision and comprehensive coverage) is $1,389.13, compared with the national average of $1,258.
Health care costs in Maryland
Health care costs in Maryland are an important part of the family budget. Employees with employer-sponsored health insurance contribute an average of $2,119 each year toward coverage. Employers pay the remaining $5,751 out of the total annual premium of $7,870.
Across the U.S., the typical employee contribution is $1,640 toward a total premium of $8,182.
Utility costs in Maryland
Maryland residents pay an average monthly electric bill of $148.45, compared with the national average of $136.84.
Natural gas costs in Maryland are $13.60 per thousand cubic feet, while the U.S. average is $12.92.
FAQ
Does Maryland have a high cost of living?
No, Maryland does not have a particularly high cost of living. While some costs, like housing and rent, are slightly more expensive in Maryland than in other states, many expenses are on the lower end.
Is Maryland a good place to live?
Yes, Maryland is a good place to live if you value access to major cities, diverse communities and a range of amenities. The cost of living is only slightly lower than the national average, which can make budgeting manageable for many families.
However, not as many people are moving to Maryland as to other states, so it’s a good fit for those who prefer established neighborhoods and steady communities.
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Is Maryland good for renters?
No, Maryland is not good for renters. Renters in Maryland often face higher-than-average rents and limited availability, making it harder to find affordable, quality options. On the positive side, tenant protections are stronger than in many other states.
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:
- Apartments.com, “Rent Trends.” Accessed Aug. 20, 2025.
- Redfin, “Redfin Data Center.” Accessed Aug. 20, 2025.
- Tax Foundation, “Where Do People Pay the Most in Property Taxes?” Accessed Aug. 20, 2025.
- United States Census Bureau, “Week 63 Household Pulse Survey: October 18 - October 30.” Accessed Aug. 20, 2025.
- AAA Gas Prices, “State Gas Price Averages.” Accessed Aug. 20, 2025.
- National Association of Insurance Commissioners, “2021/2022 Auto Insurance Database Report.” Accessed Aug. 20, 2025.
- KFF, “Average Annual Single Premium per Enrolled Employee For Employer-Based Health Insurance.” Accessed Aug. 20, 2025.
- U.S. Energy Information Administration, “2023 Average Monthly Bill- Residential.” Accessed Aug. 20, 2025.
