City Comparison

Alexandria vs Ann Arbor

Cost of Living Comparison · 2026

Alexandria

Virginia
145
Expensive
$590,000
Median Home
$2,125/mo
Median Rent
$119,700
Median Income

Ann Arbor

Michigan
114
Above Average
$400,000
Median Home
$1,600/mo
Median Rent
$65,024
Median Income

The Verdict

27.2%

The cost gap between these cities is 27.2%, with Ann Arbor being the more affordable option. A $75,000 income in Alexandria has equivalent purchasing power to $58,966 in Ann Arbor.

Category-by-Category Breakdown

Index values · National average = 100 · Lower is more affordable

Housing
201
Alexandria
135
Ann Arbor
Groceries
113
Alexandria
101
Ann Arbor
Utilities
97
Alexandria
99
Ann Arbor
Transportation
107
Alexandria
101
Ann Arbor
Healthcare
102
Alexandria
101
Ann Arbor

Salary Equivalence

A $75,000 salary in Alexandria has the same purchasing power as $58,966 in Ann Arbor.

Conversely, $75,000 in Ann Arbor equals $95,395 in Alexandria.

Living in Alexandria vs Ann Arbor

Housing Costs

Alexandria's housing index of 201 is higher Ann Arbor's 135, translating to median home prices of $590,000 vs $400,000. The $190,000 difference in home prices means roughly $12,348 per year in additional mortgage costs at current rates. Renters face a similar gap: $2,125/mo in Alexandria compared to $1,600/mo in Ann Arbor, a monthly difference of $525.

Grocery & Food Costs

Grocery expenses index at 113 in Alexandria and 101 in Ann Arbor. A household spending the national average of $475/month on groceries would pay approximately $537/month in Alexandria vs $480/month in Ann Arbor. Ann Arbor offers a meaningful advantage on everyday food costs, saving roughly $684/year.

Utility Expenses

Utility costs — electricity, gas, water, internet — index at 97 in Alexandria and 99 in Ann Arbor. Monthly utility bills average approximately $388 in Alexandria vs $396 in Ann Arbor. Utility costs are relatively comparable between these two cities.

Healthcare

Healthcare costs index at 102 in Alexandria and 101 in Ann Arbor. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. Healthcare costs are relatively similar between these two cities, though individual plan costs can still vary.

Income & Purchasing Power

Median household income is $119,700 in Alexandria and $65,024 in Ann Arbor. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $82,552 and $57,039 respectively. Alexandria residents enjoy stronger real purchasing power despite higher nominal wages.

Relocation Considerations

Under the standard 28% rule, a median-income household can allocate $2,793/month to housing in Alexandria vs $1,517/month in Ann Arbor. In Alexandria, median rent of $2,125/mo fits within this budget. In Ann Arbor, median rent of $1,600/mo pushes past the recommended limit. The biggest category-level difference between these two cities is Housing, where the gap is 66 index points — focus your budget analysis there.

Frequently Asked Questions

Ann Arbor is 27.2% more affordable overall with an index of 114 vs 145.
A $75,000 salary in Alexandria has equivalent purchasing power to approximately $58,966 in Ann Arbor, based on the cost of living difference.
Alexandria's housing index is 201 with median homes at $590,000, while Ann Arbor's is 135 with median homes at $400,000.

Moving & Relocation Resources

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