City Comparison

Ann Arbor vs Arlington

Cost of Living Comparison · 2026

Ann Arbor

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

Arlington

Virginia
164
Very Expensive
$740,000
Median Home
$2,350/mo
Median Rent
$145,000
Median Income

The Verdict

30.5%

The cost gap between these cities is 30.5%, with Ann Arbor being the more affordable option. A $75,000 income in Ann Arbor has equivalent purchasing power to $107,895 in Arlington.

Category-by-Category Breakdown

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

Housing
135
Ann Arbor
249
Arlington
Groceries
101
Ann Arbor
106
Arlington
Utilities
99
Ann Arbor
102
Arlington
Transportation
101
Ann Arbor
107
Arlington
Healthcare
101
Ann Arbor
117
Arlington

Salary Equivalence

A $75,000 salary in Ann Arbor has the same purchasing power as $107,895 in Arlington.

Conversely, $75,000 in Arlington equals $52,134 in Ann Arbor.

Living in Ann Arbor vs Arlington

Housing Costs

Ann Arbor's housing index of 135 is lower Arlington's 249, translating to median home prices of $400,000 vs $740,000. The $340,000 difference in home prices means roughly $22,104 per year in additional mortgage costs at current rates. Renters face a similar gap: $1,600/mo in Ann Arbor compared to $2,350/mo in Arlington, a monthly difference of $750.

Grocery & Food Costs

Grocery expenses index at 101 in Ann Arbor and 106 in Arlington. A household spending the national average of $475/month on groceries would pay approximately $480/month in Ann Arbor vs $504/month in Arlington. The difference in grocery costs between these cities is relatively minor and unlikely to be a deciding factor in relocation.

Utility Expenses

Utility costs — electricity, gas, water, internet — index at 99 in Ann Arbor and 102 in Arlington. Monthly utility bills average approximately $396 in Ann Arbor vs $408 in Arlington. Utility costs are relatively comparable between these two cities.

Healthcare

Healthcare costs index at 101 in Ann Arbor and 117 in Arlington. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. The 16-point gap reflects real differences in provider costs, insurance market competition, and regional healthcare infrastructure.

Income & Purchasing Power

Median household income is $65,024 in Ann Arbor and $145,000 in Arlington. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $57,039 and $88,415 respectively. Arlington residents come out ahead in real purchasing power.

Relocation Considerations

Under the standard 28% rule, a median-income household can allocate $1,517/month to housing in Ann Arbor vs $3,383/month in Arlington. In Ann Arbor, median rent of $1,600/mo exceeds this threshold, suggesting renters may feel stretched. In Arlington, median rent of $2,350/mo remains manageable. The biggest category-level difference between these two cities is Housing, where the gap is 114 index points — focus your budget analysis there.

Frequently Asked Questions

Ann Arbor is 30.5% more affordable overall with an index of 114 vs 164.
A $75,000 salary in Ann Arbor has equivalent purchasing power to approximately $107,895 in Arlington, based on the cost of living difference.
Ann Arbor's housing index is 135 with median homes at $400,000, while Arlington's is 249 with median homes at $740,000.

Moving & Relocation Resources

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