Is Asheville, North Carolina, Expensive to Live?

Asheville, North Carolina, often sparks questions regarding its affordability. Asheville has developed a reputation for having a higher cost of living compared to many other areas, particularly within the state. This article will explore the various components that contribute to the overall expenses of living in Asheville, offering a detailed look at typical costs for housing, transportation, daily necessities, healthcare, and other significant expenditures.

Overall Cost of Living Overview

Asheville’s overall cost of living generally surpasses both national and state averages. The total cost of housing, food, childcare, transportation, healthcare, and other necessities in Asheville is approximately 5.8% higher than the U.S. average and about 16.3% higher than the average for North Carolina. For a single person, monthly expenses in Asheville might average around $2,280, while a family of four could see costs reaching approximately $5,043 per month. These figures reflect a slight increase from the previous year, with primary drivers being rising housing, transportation, and food costs.

Housing Costs

Housing consistently represents the most substantial portion of expenses for individuals and families in Asheville. The rental market, for instance, shows average monthly rents around $1,729. For specific dwelling sizes, a two-bedroom unit typically costs about $1,740 per month, which is significantly higher than both the national average of $1,430 and the North Carolina state average of $1,110.

Homeownership in Asheville also comes with a higher price tag compared to broader averages. The median home price in Asheville is approximately $567,408. This figure is considerably higher than the national median home cost of $338,100 and the North Carolina state average of $289,300. The housing market in Asheville has been characterized by strong demand, often leading to competitive conditions for buyers. This demand, coupled with limited inventory, contributes to the elevated purchase prices for both single-family homes and condominiums.

Transportation and Daily Necessities

Beyond housing, transportation and everyday necessities form a significant part of the monthly budget in Asheville. Owning and operating a vehicle involves costs such as gasoline, which can fluctuate but often hovers around $3.03 per gallon. Vehicle insurance premiums also contribute to the expense, with average costs varying based on the driver’s profile and coverage choices. While public transportation options, such as the Asheville Redefines Transit (ART) bus system, are available, many residents rely on personal vehicles due to the city’s topography and spread-out nature.

Grocery expenses in Asheville are generally comparable to, or slightly below, the national average, with some sources indicating they are about 1% cheaper. However, other data suggests food expenses run about 9.3% above the national average, with a single person’s monthly food costs averaging around $437. Utility costs, encompassing electricity, water, and internet services, tend to be slightly lower than the national average, approximately 4% less pricey. This can offer a small offset to other higher expenses, but overall monthly utility bills will depend on household size and consumption.

Healthcare and Other Major Expenses

Healthcare costs in Asheville are somewhat higher than the national average, approximately 4% more expensive. This encompasses expenses such as insurance premiums, co-pays, and out-of-pocket costs for medical services. For instance, doctor visits in Asheville might average around $153.60, while a dentist visit could be approximately $113.11.

Taxes also play a role in the overall cost of living. North Carolina has a flat state individual income tax rate, and the statewide sales tax is 4.75%. Local jurisdictions, including Buncombe County and the City of Asheville, levy additional sales taxes, bringing the combined sales tax rate to 7%. Property taxes, based on assessed property values, are also a recurring expense for homeowners. While specific rates vary by county and municipality, they contribute to the annual financial outlay for property owners. Other potential costs, such as childcare, can be substantial, though specific average costs vary widely based on the type of care and age of the child.