Understanding the Cost of Living in California in 2024

Living in California means you can easily go to beaches, go skiing, go hiking, and visit some unique and enjoyable cities. That’s likely why it’s one of the most popular states in the country to live in. However, it also means that the cost of living can vary greatly from one city to another.

With some research, you can find the perfect spot in California that combines natural beauty, delicious food, and a lifestyle that fits your budget. Whether you prefer beach towns or inland hills, there is a spot for you. Don’t be discouraged by the expensive cost of living in larger cities in California. You can enjoy the sunny and pleasant weather at various price ranges.

California Housing Prices

Generally, the cost of housing in California is higher than the national average. In fact, some housing prices are so high that you might feel the need to find a roommate to afford it. Some cities have extremely high average rents, while others have surprisingly affordable options. If you expand your search, you might be fortunate enough to find a perfect apartment that fits your budget. Consider exploring a smaller community near a major city that you can reach by driving.

If you want to understand how much rent costs in different parts of California, you can look at the average rents in some major cities.

Bakersfield

If you’re looking for a more affordable housing option in California, consider exploring areas further inland. You may find that the prices are significantly lower there. Cities that are not located on the coast are generally more affordable, while still offering amenities and qualities that people desire in a California city. Bakersfield is a city located in the middle of California.

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The typical cost to rent a one-bedroom apartment is $1,145 per month, while a two-bedroom apartment usually costs $1,545 per month. These rents are 3% higher than the national average.

Los Angeles

It’s not surprising that Los Angeles has higher rents and home prices compared to many other places in California. The cost of housing is increasing. The presence of many multi-million dollar homes owned by celebrities in the city distorts the average values.

The monthly rent for a one-bedroom apartment is $2,730, while a two-bedroom apartment costs an average of $3,690. Both types of apartments have experienced similar price growth, at around 14 percent. These numbers are higher than the average rent price in the country by 1 percent. Living in L.A. is definitely expensive.

San Diego

If you travel to the southern end of California, you will come across San Diego. San Diego is a city that is becoming more expensive, especially when it comes to housing costs. Living here is a bit less expensive than Los Angeles and much more affordable than San Francisco. However, you still need to be careful with your budget.

The cost of housing in San Diego is 123 percent higher than the national average. The average monthly rent for a one-bedroom apartment is $2,846. The amount has decreased by one percent compared to last year. The average monthly cost of renting a two-bedroom apartment is $3,735, which is one percent higher than last year.

San Francisco

In San Francisco, housing costs are extremely expensive. Home prices in San Francisco are similar to those in New York City, which is often seen as having the highest cost of living in the country.

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The average cost to rent a one-bedroom apartment is $3,432 per month. This is a decrease of 3 percent compared to last year. The average cost to rent a two-bedroom apartment is $4,522, which is also 4 percent lower than before. Even though rent went down compared to last year, the average cost of housing in San Francisco is still 204% higher than the national average.

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California Food Prices

The cost of living for food in California is just a little bit higher than the national average. While some cities in California have higher costs of living and more expensive food options, overall, the state is considered affordable when it comes to food expenses.

Sacramento is the cheapest city on our list to buy groceries, based on total spending. Here is how the other cities are included:

  • Sacramento is 6% higher than the national average
  • Bakersfield is 10% higher than the national average
  • San Diego is 12% higher than the national average
  • Los Angeles is 11% higher than the national average
  • San Francisco is 31% higher than the national average

California Utility Prices

When creating a budget for housing expenses, it’s important to consider three main utilities: electricity, water, and internet. Fortunately, in California, certain regions provide alternative energy options, which means the electricity powering your home might come from a more environmentally friendly source. When we compare the total cost of utilities in our California cities to the average cost across the country:

  • Sacramento is just 6% higher than the national average.
  • Los Angeles is 11% higher than the national average
  • San Diego is 13% higher than the national average
  • The cost of living in San Francisco is 32 percent higher than the national average.
  • Bakersfield is 58% higher than the national average
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