City Comparison

London vs Sacramento

Cost of Living Comparison · 2026

London

United Kingdom
115
Above Average
$695,000
Median Home
$2,400/mo
Median Rent
$55,000
Median Income

Sacramento

California
128
Expensive
$450,000
Median Home
$1,700/mo
Median Rent
$64,660
Median Income

The Verdict

10.2%

London is 10.2% less expensive than Sacramento overall. A household earning $75,000 in London would need approximately $83,478 in Sacramento to maintain the same standard of living.

Category-by-Category Breakdown

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

Housing
162
London
163
Sacramento
Groceries
92
London
104
Sacramento
Utilities
112
London
108
Sacramento
Transportation
125
London
111
Sacramento
Healthcare
78
London
106
Sacramento

Salary Equivalence

A $75,000 salary in London has the same purchasing power as $83,478 in Sacramento.

Conversely, $75,000 in Sacramento equals $67,383 in London.

Living in London vs Sacramento

Housing Costs

London's housing index of 162 is lower Sacramento's 163, translating to median home prices of $695,000 vs $450,000. The $245,000 difference in home prices means roughly $15,924 per year in additional mortgage costs at current rates. Renters face a similar gap: $2,400/mo in London compared to $1,700/mo in Sacramento, a monthly difference of $700.

Grocery & Food Costs

Grocery expenses index at 92 in London and 104 in Sacramento. A household spending the national average of $475/month on groceries would pay approximately $437/month in London vs $494/month in Sacramento. London offers a meaningful advantage on everyday food costs, saving roughly $684/year.

Utility Expenses

Utility costs — electricity, gas, water, internet — index at 112 in London and 108 in Sacramento. Monthly utility bills average approximately $448 in London vs $432 in Sacramento. Utility costs are relatively comparable between these two cities.

Healthcare

Healthcare costs index at 78 in London and 106 in Sacramento. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. The 28-point gap reflects real differences in provider costs, insurance market competition, and regional healthcare infrastructure.

Income & Purchasing Power

Median household income is $55,000 in London and $64,660 in Sacramento. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $47,826 and $50,516 respectively. Sacramento residents come out ahead in real purchasing power.

Relocation Considerations

Under the standard 28% rule, a median-income household can allocate $1,283/month to housing in London vs $1,509/month in Sacramento. In London, median rent of $2,400/mo exceeds this threshold, suggesting renters may feel stretched. In Sacramento, median rent of $1,700/mo pushes past the recommended limit. The biggest category-level difference between these two cities is Healthcare, where the gap is 28 index points — focus your budget analysis there.

Frequently Asked Questions

London is 10.2% more affordable overall with an index of 115 vs 128.
A $75,000 salary in London has equivalent purchasing power to approximately $83,478 in Sacramento, based on the cost of living difference.
London's housing index is 162 with median homes at $695,000, while Sacramento's is 163 with median homes at $450,000.

Moving & Relocation Resources

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