North Carolina Cost of Living
Can you afford to live in the Tar Heel State?
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North Carolina’s booming cities, coastal towns and scenic mountains have drawn thousands of new residents each year — making it the most moved-to state in the country recently. But relocating to North Carolina means adapting to new routines, finding your way around unfamiliar neighborhoods and, most importantly, planning for changes in your monthly expenses.
To determine the cost of living in North Carolina, our team reviewed data from the U.S. Bureau of Economic Analysis to understand average spending. We also used recent official sources to gather housing, food, transportation, health care and utility costs for a full picture of everyday expenses.
People in North Carolina spend $51,081 each year on goods and services, on average.
Jump to insightThe median rent in North Carolina is $1,359, versus the national median rent of $1,639.
Jump to insightResidents in North Carolina spend $266.23 weekly on food at home.
Jump to insightAs of August 2025, the average price per gallon of regular gas is $2.89 in North Carolina.
Jump to insightRecent data shows that employees in North Carolina pay $1,806 annually for employee-sponsored health insurance coverage.
Jump to insightThe average cost of living in North Carolina
According to the U.S. Bureau of Economic Analysis (BEA), the average annual per-person spending in North Carolina was $51,081 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 North Carolina:
| Category | Annual per-capita cost in North Carolina |
|---|---|
| Housing and utilities | $8,860 |
| Health care | $8,166 |
| Food and beverages for off-premises consumption | $4,271 |
| Gasoline and other energy goods | $1,399 |
| All other personal consumption expenditures | $28,384 |
| Total cost | $51,081 |
Housing costs in North Carolina
Housing is the largest monthly expense for most North Carolina families. Based on 2025 data from Apartments.com, the average rent in North Carolina is $1,359, while the national average rent is $1,639. Rent can vary based on city, neighborhood and the size of the rental. The U.S. Census Bureau’s 2023 American Community Survey shows typical monthly rents in North Carolina as follows:
- One-bedroom rent: $1,224
- Two-bedroom rent: $1,199
- Three-bedroom rent: $1,279
- Four-bedroom rent: $1,670
For homebuyers, the median home price in North Carolina is $388,600, compared with the U.S. median home price of $446,638.
Property taxes also come into play. North Carolina’s effective property tax rate is 0.62%, which affects overall housing affordability. The state ranks No. 33 for highest effective property tax rates in the nation.
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Food costs in North Carolina
Your grocery bill in North Carolina will largely depend on your household size and food preferences. According to the latest U.S. Census data, the average weekly grocery spend in North Carolina is $266.23, compared with the U.S. average of $270.21.
How much you pay for food in North Carolina can shift depending on your routine and location. Shopping at major supermarkets or discount stores may help control costs, while specialty grocers and farmers markets in cities often charge more. Eating out — especially in places like Charlotte or Raleigh — tends to be pricier, whereas rural areas and smaller towns often offer more budget-friendly meal options.
Transportation costs in North Carolina
Regular transportation expenses include fuel and auto insurance. In August 2025, the average price per gallon of regular gas in North Carolina is $2.89, compared with the U.S. average of $3.13.
Car owners in North Carolina also pay $990.43 on average for auto insurance, which includes liability, collision and comprehensive coverage. This compares with a national average of $1,258.
Health care costs in North Carolina
Health insurance is a key part of the cost of living. In North Carolina, the average employee contribution for employer-sponsored health coverage is $1,806 per year, with employers covering the remaining $5,937 of the $7,742 total annual premium.
Nationally, the average worker pays $1,640 out of a total premium of $8,182.
Utility costs in North Carolina
For electricity, the average monthly bill in North Carolina is $127.79, compared with $136.84 for the U.S. as a whole.
Natural gas in North Carolina comes in at $16.50 per thousand cubic feet, compared with $12.92 on average nationally.
FAQ
Does North Carolina have a high cost of living?
No, North Carolina does not have a high cost of living compared with the national average. Housing and utility costs are lower than what most Americans pay. Some energy prices can be slightly higher than in other states, which may affect monthly budgets for some families.
Is North Carolina a good place to live?
Yes, North Carolina is a good place to live if you value affordability and growth. Many people are choosing to relocate there, drawn by the state’s lower cost of living, strong job market and variety of communities — from vibrant cities to quiet rural areas.
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Is North Carolina good for renters?
Yes, North Carolina is good for renters. Rent is generally affordable there, and the state offers a solid quality of life for those leasing a home or apartment. Tenant protections and rental availability are about average, so it’s important to research neighborhoods and property management before signing a lease.
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.
