How Much Does It Cost to Live in Washington, DC?

Washington, D.C., stands as a dynamic urban center, drawing individuals with its unique blend of history, culture, and professional opportunities. The perception of a high cost of living in the nation’s capital is common, and data indicates this is indeed the case. As of 2024, D.C. ranks among the most expensive places to reside in the United States.

Understanding D.C.’s financial landscape involves examining various expenditure categories. For a single person, estimated monthly costs, excluding housing, approach $1,488.30. A family of four faces estimated monthly expenses of approximately $7,316 before rent.

Housing Costs

Housing consistently represents the most substantial expense for residents in Washington, D.C. As of August 2025, the average monthly rent across the city is approximately $2,301, a figure that is 40% higher than the national average. The rental market exhibits considerable variation based on dwelling size, with average monthly costs around $1,872 for a studio apartment, $2,301 for a one-bedroom unit, and $3,148 for a two-bedroom apartment.

Rental prices also fluctuate widely across different neighborhoods within the city. More affordable areas might offer studio apartments for around $1,139, while one-bedroom units could be found for $1,259. Conversely, neighborhoods such as Navy Yard see average rents for one-bedroom apartments around $2,724, and Capitol Hill’s one-bedroom units average $2,223. Dupont Circle also reflects higher costs, with average apartment rents around $2,605.

For those considering homeownership, the median listing home price in Washington, D.C., was $589,000 in July 2025, with the median sold price reaching $690,000 during the same period.

Property taxes in the District are structured with a residential rate of $0.85 per $100 of assessed value. The effective property tax rate, which accounts for deductions and credits, averages 0.56%. The median annual real estate property tax payment is $3,957. Homeowners who use their property as a primary residence may benefit from a homestead deduction, which can reduce the taxable value by up to $89,850.

Transportation Expenses

Transportation expenses in Washington, D.C., contribute significantly to the overall cost of living, with annual costs for a single resident estimated at $5,509. For car owners, the average price for regular gasoline in D.C. was approximately $3.288 per gallon as of August 2025. Car insurance premiums average between $1,679 and $2,802 annually for full coverage, which is approximately 30% higher than the national average.

Public transportation, primarily through the Washington Metropolitan Area Transit Authority (WMATA) Metro system, offers an alternative to car ownership. Metrorail fares are variable, depending on the distance traveled and the time of day, ranging from $2.25 to $6.75 during peak hours. Off-peak and weekend fares are generally lower, ranging from $2.25 to $2.50. Metrobus services charge a flat fare of $2.25 per ride.

For frequent commuters, various passes are available to manage costs. A 1-day unlimited pass costs $13.50, a 3-day unlimited pass is $33.75, and a 7-day unlimited pass is $60.75. Monthly unlimited passes for Metrorail and Metrobus range from $72.00 to $216.00, depending on the fare level selected. WMATA implemented a 12.5% fare increase effective July 1, 2025, impacting both bus and rail services.

Parking fees can add considerably to transportation costs for those who drive. Street parking typically costs $2.30 per hour in most areas, with enforcement generally occurring Monday through Saturday from 7 a.m. to 6:30 p.m., or even until 10 p.m. in busier zones. Garage parking rates vary, with daily costs ranging from $10 to $25 and overnight parking between $20 and $50. Monthly parking options average around $250, but can range from $150 to $400 depending on location and amenities. Free street parking is typically available on Sundays and federal holidays.

Household Utilities and Groceries

Managing household utilities and grocery expenses forms a significant part of the monthly budget in Washington, D.C. The average monthly utility costs for a residence are estimated at $438.

The average monthly electricity bill for residential customers in D.C. is approximately $182, based on an average rate of 16 cents per kilowatt-hour. Natural gas costs are also a factor, with the purchased gas charge from Washington Gas at $0.4803 per therm as of August 2025. The average monthly water bill in the District of Columbia is approximately $59. Internet services, particularly for higher-speed packages, averaged $98.68 per month in 2024.

Grocery expenses in D.C. are higher than the national average, with food costs estimated to be 14.1% greater. A single resident can expect to spend about $3,351 annually on groceries, which translates to approximately $279 per month.

Dining out also adds to food expenditures. The average daily cost for meals when dining out is around $66 per person. A meal at an inexpensive restaurant typically costs about $22. For a three-course meal for two people at a mid-range restaurant, the cost can be approximately $115.

Healthcare and Miscellaneous Expenses

Healthcare expenditures represent another substantial category within the cost of living in Washington, D.C. Average annual healthcare costs are estimated at $13,239. Healthcare services in D.C. are generally more expensive, costing about 17% more than the national average.

Beyond housing, transportation, food, and healthcare, various miscellaneous expenses contribute to the overall budget. These include personal care items, entertainment, and clothing. Entertainment and grooming services in Washington, D.C., are approximately 13% pricier than the national average.

Shopping for clothing and other goods is subject to the local sales tax rate. Washington, D.C., imposes a sales tax rate of 6.00% on most tangible personal property and select services.