F
83%
Overall NAT. AVG.
22%
Goods & Services NAT. AVG.
233%
Housing NAT. AVG.
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Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.
The cost of living index is based on a national average of 100. For example, if the cost of living is 90, then it is 10% lower than average. If the cost of living is 110, then it is 10% higher than average. The breakdown for each index is as follows: goods & services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). If the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
Index Somerville Massachusetts National
Cost of living183133100
Goods & Services122122100
Groceries105105100
Health care113113100
Housing333165100
Transportation118118100
Utilities134134100

An Overview of Cost of Living in Somerville, MA

Understanding the cost of living in Somerville can help future residents assess whether their current financial situation aligns with the expenses they will encounter. It enables them to plan for potential changes in their budget and lifestyle. The Somerville cost of living index is 183, which is 83% higher than the national average. The cost of living index is calculated by taking into account multiple categories, which encompass both the cost of everyday expenditures and larger expenses as well.

If you prioritize affordability when seeking a new place to live, Somerville may not be your ideal choice, as it ranks among the most expensive locations in the entire United States. A very small amount of areas exhibit a cost of living at least 20% higher than the national average, and unfortunately, Somerville falls into this category, which may not align with your preferences for a budget-friendly living environment.

Housing costs significantly influence the Somerville cost of living index, typically accounting for a substantial portion of one's post-tax income. Regrettably, within this particular region, expenses related to both residential ownership and renting exceeded those observed in an average city by 233.1%. This entails elements such as housing and rental prices, mortgage interest rates and insurance costs.

Goods and services make up 33% of the total cost of living index score and are a large part of your everyday expenses. These items could include things like haircuts, salons, toothpaste, shampoo, clothes, movies, bowling, gym memberships or yoga. In Somerville, you can expect to pay 21.6% more than average for these items, making it a more expensive place to live.

What Do Locals Say About the Cost of Living in Somerville?

Locals have the inside scoop on their city. So, we polled 12 residents in Somerville to learn how they view the cost of living. We asked how they felt about the cost of living in their area, and if they thought that prices were increasing, decreasing or staying the same. The verdict? 8% find it reasonable with decreasing prices, but 92% think it's quite pricey, with prices that continue to rise.

Is Somerville Affordable?

Is Somerville an affordable place to live? It's a good question and one that you might want to ask when considering any new city, as affordability can play a huge role in the decision making process. The cost of living index (which we covered above), as well as housing costs and income levels play a vital role in determining the affordability of an area. The median home price in Somerville is 284.3% higher than the national average, while the average monthly rent prices are 113.5% higher than average. The affordability of any location can also be influenced by median income levels. Somerville has a median household income of $102,311, which is 84.9% higher than the national average.

What Factors can Influence the Cost of Living in Somerville?

Taxes: Locations with elevated tax rates, encompassing both sales and income taxes, can be a factor in driving up the cost of living. When you're paying more in taxes for everyday goods and services, it naturally translates into higher expenses. Similarly, a higher income tax rate can also contribute to an overall higher cost of living. In Somerville, the standard sales tax rate starts at 6.25%, and the income tax rates commence at 5%.

Urbanization: Urban areas with a wealth of amenities and employment opportunities tend to come with a higher price tag for living. Why? Well, more people want to be there, which drives up home prices and rents. On the flip side, less densely populated rural areas or places where there's not as much demand usually mean fewer attractions, things to do and slower job growth. That often results in a lower cost of living.

Utilities: Much like any other costs, utility expenses can exhibit considerable variations, influenced by factors such as climate, available energy sources, geographic location and state regulations. The costs associated with electricity, water, heating, and waste disposal can vary significantly depending on the city or state in question. In Somerville, the utilities index stands at 33.9% higher than the national average.

Where is the Data From?

The cost of living in Somerville, presented above is derived from the C2ER cost of living index, offering a practical method for assessing living cost disparities in urban areas. Published quarterly, this index compiles data from more than 300 independent researchers, encompassing over 60 goods and services in 6 categories. The weightings assigned to cost variances are informed by government survey data tracking the expenditure patterns of professional and executive households. It should be noted that the C2ER index does not include data on sales or income tax rates, however, AreaVibes incorporates tax rates into the overall cost of living score for each area.

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Cost Of Living Quick Facts

  • The cost of living in Somerville is 38% higher than the Massachusetts average
  • The cost of living in Somerville is 83% higher than the national average
  • Somerville housing is 233% higher than the national average
  • Massachusetts general sales tax is 22% higher than the national average
  • Massachusetts state income tax is 93% higher than the national average

Most Affordable Places to Live in and Around Somerville

See all the best places to live around Somerville

Compare Somerville, MA Cost of Living

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      Salary Calculator

      This is how much you would need to earn in
      Price difference in compared to
      Cost of living index
      Goods & Services index
      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median Income Per Year Per Month Max Budget (28% DTI) Max Budget (36% DTI)
      Owners$117,974$9,831$2,753$3,540
      Renters$92,533$7,711$2,159$2,776
      A good indicator of the general affordability of housing in Somerville, MA, is the percentage of monthly income that should be spent on housing expenses, otherwise known as the debt-to-income ratio (DTI). Generally speaking, no more than 28 percent of your total gross income should be spent on your housing expenses and not more than 36 percent of your gross income on total expenses, including debts. In Somerville, the median monthly income is $117,974 for those who own their own homes. Under the standard rule, that income level would allow for $2,753 to be budgeted for housing expenses each month, at the most. Renters, on the other hand, earn about $92,533, per the median income in the area. That would allow for renters to spend up to $2,159 on monthly rental expenses.

      Massachusetts Sales Tax

      State General Sales Tax With Max Surtax
      Massachusetts 6.25% 6.25%

      Massachusetts Income Tax

      State Income Tax (Low) Income Tax (High)
      Massachusetts 5% 9%

      Goods & Services

      Item Somerville National avg. Difference
      Haircut $43.72$24.2680.2%
      Beauty Salon $65.56$45.5643.9%
      Toothpaste $3.53$3.704.7%
      Shampoo $1.49$1.2816.4%
      Movie $15.49$12.1327.6%
      Bowling $29.33$18.0063.0%

      Groceries

      Item Somerville National avg. Difference
      Ground Beef $5.48$5.846.2%
      Fried Chicken $1.45$1.578.0%
      Milk $4.76$4.671.9%
      Potatoes $4.99$4.931.1%
      Pizza $12.52$12.093.6%
      Beer $10.21$10.411.9%

      Health Care

      Item Somerville National avg. Difference
      Optometrist $123.17$125.682.0%
      Doctor $157.89$135.7816.3%
      Dentist $149.22$113.2931.7%
      Ibuprofen $11.39$10.656.9%
      Lipitor $384.69$468.6017.9%

      Housing

      Item Somerville National avg. Difference
      Home Price $709,800.00$184,700.00284.3%
      Avg. Mortgage Payment $4,745.89$2,346.69102.2%
      Apartment Rent $2,026.00$949.00113.5%

      Transportation

      Item Somerville National avg. Difference
      Gasoline $3.43$3.460.9%
      Tire Balancing $97.39$59.9262.5%

      Utilities

      Item Somerville National avg. Difference
      All Electricity $302.72$193.9956.0%
      Phone $187.85$192.252.3%
      Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.

      Nearby cities with low cost of living

      City Population Cost of Living Index National Avg.
      Randolph, MA33,52612626.4%
      Lynn, MA94,20113635.5%
      Salem, MA43,35013939.2%
      Chelsea, MA39,87814039.5%
      Revere, MA53,40014241.6%
      Somerville, MA81,17518383.4%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Cranston, RI81,25211615.8%
      Manteca, CA81,07814141.4%
      Silver Spring, MD81,06915050.2%
      Warwick, RI81,04311414.2%
      San Ramon, CA81,344221120.6%
      Somerville, MA81,17518383.4%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.