Michigan cost of living
Moving to a new state can be a chance to start over. It can also be costly and emotionally draining. It’s important to do your homework on practical matters to give yourself peace of mind and to start with a solid foundation.
Whether you're relocating to Michigan 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 Michigan is $1,361.37, versus the national median rent of $1,529.01.
Jump to insightResidents in Michigan spend $236.38 weekly on food at home and $90.63 on food out.
Jump to insightAs of publishing, the average price per gallon of regular gas is $3.57 in Michigan.
Jump to insightRecent data shows that employees in Michigan pay $1,584 annually for employee-sponsored health insurance coverage.
Jump to insightHousing costs in Michigan
According to recent data from Zillow, the median rent in Michigan is $1,361.37, while the national median rent is $1,529.01.
Data from the U.S. Census Bureau shows rent prices in Michigan broken down by home size. As of publishing, one-bedroom apartments in Michigan had a median cost of $844 per month, and the two-bedroom median cost was $1,089 per month. Three- and four-bedroom homes had median costs of $1,226 and $1,284, respectively.
As of publishing, the median home price in Michigan is $250,000, according to Redfin. The U.S. median home price is $436,000.
The median home price in the Detroit-Warren-Dearborn metro area was $240,000 in the first quarter of 2024, according to the National Association of Realtors (NAR).
Michigan ranks No. 14 for highest effective property tax rates in the nation, according to the most recent Tax Foundation data, at 1.38%.
» COMPARE: Best moving companies
Food costs in Michigan
According to recent census data, the average spent on food to prepare at home each week in Michigan is $236.38, compared with the U.S. average of $270.21 at the time. Michigan residents spend an average of $90.63 weekly on food prepared outside the home, compared with the U.S. average of $109.21.
Transportation costs in Michigan
According to recent data from AAA, the average price per gallon of regular gas in Michigan is $3.57, 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 Michigan is $1,416, versus the national average of $1,189.50.
Public transportation costs
Public transit opportunities depend on where you live in Michigan. Detroit ranked No. 28 in our 2024 ranking of cities with the best public transit. The average fare ran $2 for a four-hour pass as of publishing.
Health care costs in Michigan
The most recent KFF data shows that, on average, employer-sponsored health insurance cost Michigan employees $1,584 annually, with employers covering the remaining $5,692 of the $7,276 total cost.
Nationwide, the average employee contribution was $1,637 out of a total premium of $7,590.
Utility costs in Michigan
According to the most recent data from the Energy Information Administration, the average monthly electric bill in Michigan is $116.49, versus $135.25 countrywide.
Recent EIA data also shows that natural gas in Michigan costs $10.08 per thousand cubic feet, compared with $13.25 nationally.
FAQ
Does Michigan have a high cost of living?
Michigan has a fairly low cost of living. In fact, we ranked the Great Lakes State third on our 2023 list of least expensive states.
How much do I need to make to live in Detroit?
Our 2024 analysis shows that a single adult needs to make $49,631 to live comfortably in Detroit, making it one of the more affordable large U.S. cities.
How much will it cost to move to Michigan?
If you’re moving more than 1,000 miles, it’s likely to cost you several thousand dollars to hire professional movers. Fortunately, there are ways to make your cross-country move cheaper.
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.
