City Comparison

Ann Arbor vs Ithaca

Cost of Living Comparison · 2026

Ann Arbor

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

Ithaca

New York
94
Below Average
$324,000
Median Home
$1,475/mo
Median Rent
$48,600
Median Income

The Verdict

21.3%

Living in Ithaca costs 21.3% less than Ann Arbor. To match the purchasing power of a $75,000 salary in Ann Arbor, you would need $61,842 in Ithaca.

Category-by-Category Breakdown

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

Housing
135
Ann Arbor
117
Ithaca
Groceries
101
Ann Arbor
103
Ithaca
Utilities
99
Ann Arbor
102
Ithaca
Transportation
101
Ann Arbor
96
Ithaca
Healthcare
101
Ann Arbor
99
Ithaca

Salary Equivalence

A $75,000 salary in Ann Arbor has the same purchasing power as $61,842 in Ithaca.

Conversely, $75,000 in Ithaca equals $90,957 in Ann Arbor.

Living in Ann Arbor vs Ithaca

Housing Costs

Ann Arbor's housing index of 135 is higher Ithaca's 117, translating to median home prices of $400,000 vs $324,000. The $76,000 difference in home prices means roughly $4,944 per year in additional mortgage costs at current rates. Renters face a similar gap: $1,600/mo in Ann Arbor compared to $1,475/mo in Ithaca, a monthly difference of $125.

Grocery & Food Costs

Grocery expenses index at 101 in Ann Arbor and 103 in Ithaca. A household spending the national average of $475/month on groceries would pay approximately $480/month in Ann Arbor vs $489/month in Ithaca. 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 Ithaca. Monthly utility bills average approximately $396 in Ann Arbor vs $408 in Ithaca. Utility costs are relatively comparable between these two cities.

Healthcare

Healthcare costs index at 101 in Ann Arbor and 99 in Ithaca. 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 $65,024 in Ann Arbor and $48,600 in Ithaca. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $57,039 and $51,702 respectively. Ann Arbor residents enjoy stronger real purchasing power despite higher nominal wages.

Relocation Considerations

Under the standard 28% rule, a median-income household can allocate $1,517/month to housing in Ann Arbor vs $1,134/month in Ithaca. In Ann Arbor, median rent of $1,600/mo exceeds this threshold, suggesting renters may feel stretched. In Ithaca, median rent of $1,475/mo pushes past the recommended limit. The biggest category-level difference between these two cities is Housing, where the gap is 18 index points — focus your budget analysis there.

Frequently Asked Questions

Ithaca is 21.3% more affordable overall with an index of 94 vs 114.
A $75,000 salary in Ann Arbor has equivalent purchasing power to approximately $61,842 in Ithaca, based on the cost of living difference.
Ann Arbor's housing index is 135 with median homes at $400,000, while Ithaca's is 117 with median homes at $324,000.

Moving & Relocation Resources

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