City Comparison

Detroit vs Montgomery

Cost of Living Comparison · 2026

Detroit

Michigan
89
Below Average
$65,000
Median Home
$1,000/mo
Median Rent
$34,762
Median Income

Montgomery

Alabama
79
Very Affordable
$162,000
Median Home
$1,000/mo
Median Rent
$56,800
Median Income

The Verdict

12.7%

Montgomery is 12.7% less expensive than Detroit overall. A household earning $75,000 in Detroit would need approximately $66,573 in Montgomery to maintain the same standard of living.

Category-by-Category Breakdown

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

Housing
60
Detroit
49
Montgomery
Groceries
98
Detroit
99
Montgomery
Utilities
101
Detroit
115
Montgomery
Transportation
111
Detroit
92
Montgomery
Healthcare
99
Detroit
78
Montgomery

Salary Equivalence

A $75,000 salary in Detroit has the same purchasing power as $66,573 in Montgomery.

Conversely, $75,000 in Montgomery equals $84,494 in Detroit.

Living in Detroit vs Montgomery

Housing Costs

Detroit's housing index of 60 is higher Montgomery's 49, translating to median home prices of $65,000 vs $162,000. The $97,000 difference in home prices means roughly $6,300 per year in additional mortgage costs at current rates. Renters face a similar gap: $1,000/mo in Detroit compared to $1,000/mo in Montgomery, a monthly difference of $0.

Grocery & Food Costs

Grocery expenses index at 98 in Detroit and 99 in Montgomery. A household spending the national average of $475/month on groceries would pay approximately $466/month in Detroit vs $470/month in Montgomery. 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 101 in Detroit and 115 in Montgomery. Monthly utility bills average approximately $404 in Detroit vs $460 in Montgomery. Climate differences between the two cities drive much of this gap, with heating and cooling costs varying substantially by region.

Healthcare

Healthcare costs index at 99 in Detroit and 78 in Montgomery. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. The 21-point gap reflects real differences in provider costs, insurance market competition, and regional healthcare infrastructure.

Income & Purchasing Power

Median household income is $34,762 in Detroit and $56,800 in Montgomery. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $39,058 and $71,899 respectively. Montgomery residents come out ahead in real purchasing power.

Relocation Considerations

Under the standard 28% rule, a median-income household can allocate $811/month to housing in Detroit vs $1,325/month in Montgomery. In Detroit, median rent of $1,000/mo exceeds this threshold, suggesting renters may feel stretched. In Montgomery, median rent of $1,000/mo remains manageable. The biggest category-level difference between these two cities is Healthcare, where the gap is 21 index points — focus your budget analysis there.

Frequently Asked Questions

Montgomery is 12.7% more affordable overall with an index of 79 vs 89.
A $75,000 salary in Detroit has equivalent purchasing power to approximately $66,573 in Montgomery, based on the cost of living difference.
Detroit's housing index is 60 with median homes at $65,000, while Montgomery's is 49 with median homes at $162,000.

Moving & Relocation Resources

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