Cost of Living in Torrance, CA

An Overview of Cost of Living in Torrance, CA

Knowing the cost of living in Torrance allows individuals to create a realistic budget. This helps them understand how their income will cover expenses and whether they need to make financial adjustments. The cost of living in any region can fluctuate due to various factors. To assess the cost of living consistently across different areas, a national average of 100 serves as the basis for the cost of living index. The cost of living in Torrance stands at 189, marking it 89% higher than the national average.

If you're in pursuit of an economical living environment, Torrance may not fit the bill, as it ranks among the most expensive places to reside in the United States. Just a minority of regions exhibit a cost of living that is more than 20% higher than the national average, and, unfortunately, Torrance falls within this bracket.

When it comes to the cost of living in Torrance, housing costs are a real heavyweight, often hogging a significant chunk of your earnings. Sadly, in this area, housing expenses for both buying and renting were 259% more expensive compared to your average city. That means you'll be shelling out more for homes, rents, mortgage rates and insurance.

Everyday goods and services make up 33% of the cost of living index and include things like clothing, personal hygiene products and entertainment which are a large portion of your monthly expenditures. Unfortunately, Torrance goods and services are 16.2% more expensive than the national average, leaving you with less money at the end of the month.

The surge in grocery costs is indeed alarming, especially when groceries make up a large portion of your monthly expenditures. Over the past two years, there has been an inflation of over 10% in grocery prices. Unfortunately, Torrance does not fare better, with grocery expenses coming in at 12.2% higher than the national average.

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

The real experts on a city are its residents. That's why we reached out to 10 locals to get their views on the cost of living in Torrance. We surveyed the residents and asked them if they felt like prices were affordable or out of reach. The results were as follows. 40% found it budget-friendly with decreasing prices, while 60% said it's simply not affordable as prices have continued to rise.

Is Torrance Affordable?

Is Torrance affordable? It's a key consideration when pondering a move, as affordability often shapes your choices. The cost of living index (we discussed it earlier), coupled with housing costs and income levels, serves as the cornerstone for determining a location's affordability. Take Torrance, for instance, where the median home price falls 331.4% higher than the national average, and monthly rent rates are 90% higher than usual. Additionally, median income levels contribute to the equation, with Torrance flaunting a median household income of $94,781, 71.3% higher than the national norm.

What Factors can Influence the Cost of Living in Torrance?

Housing: A sought-after location with high housing demand often leads to increased property values and rental rates, which can significantly inflate the overall cost of living. Conversely, areas with low housing demand, particularly in less desirable locales, tend to experience the opposite effect, causing prices to drop and contributing to a more affordable cost of living. In Torrance, the housing index stands at 259% higher than the national average.

Healthcare: Healthcare expenses and insurance premiums can vary significantly depending on the specific city or state. Factors such as accessibility to healthcare facilities, out-of-pocket expenses for doctor's visits, dental care expenses, prescription costs and specialized medical care fees can all influence the overall cost of living. In Torrance, healthcare costs are 7.9% higher than the national average.

Transportation: If public transportation is limited or not available, residents may need to own and maintain vehicles, which can add to the cost of living. Gas, insurance, regular maintenance and potentially lease or finance payments will all need to be paid on a monthly basis. In Torrance, the transportation index is 24.3% higher than the national average.

Where is the Data From?

The Torrance cost of living data displayed above is derived from the C2ER cost of living index to provide a useful and reasonably accurate measure of living cost differences in urban areas. The index takes into account data from 300 independent researches, covering more than 60 goods and services across 6 different categories, to create an overall index for each area, with 100 being the average. The C2ER index does not include sales or income tax rates in their data, however AreaVibes does include both income and sales tax rates in the overall cost of living score for each area.