Is Utah an Expensive State to Live In?

Whether Utah is an expensive state to live in depends on various financial factors. Understanding the cost of living involves looking at average expenses, income levels, and how these figures compare to national benchmarks. While some costs in Utah align with or are below the national average, other significant expenses can contribute to a perception of higher living costs. This overview provides a comprehensive look at what residents might expect financially.

Overall Cost of Living Overview

Utah’s overall cost of living slightly exceeds the national average. In 2024, the state’s cost of living index was around 101, indicating it is about 1% higher than the national average of 100. This represents a notable increase from 2014, when Utah’s metro areas had an average index score of 93, demonstrating a faster rate of increase compared to other U.S. locations.

This upward trend is largely influenced by housing and transportation. Even with these increases, Utah’s cost of living is considerably lower than states like California (index around 139.8) or Hawaii (index nearing 190). The state’s economic landscape and available land have historically contributed to keeping overall costs more manageable than in some other densely populated or coastal regions.

Breaking Down Key Expenses

Housing

Housing is the largest component of living expenses in Utah. In the fourth quarter of 2024, the median sale price for a single-family home statewide was approximately $547,700, making Utah the ninth most expensive housing market in the nation. Despite a stabilization in prices, affordability remains a concern, particularly in the five most populous counties where homes are considered “seriously to severely unaffordable” based on income ratios. For renters, the average rent in Salt Lake County was around $1,593 in 2024. Statewide, the average rent in Utah was $1,862, which is lower than the national average.

Transportation

Transportation costs also represent a significant portion of the budget. A monthly pass for the Utah Transit Authority (UTA) services, which includes buses, light rail, and commuter rail in urban areas, costs around $85. For those who drive, the average price for regular gasoline in Utah was about $3.579 per gallon as of August 2024. Annual transportation expenses for a single adult without children can range upwards of $5,300.

Food and Groceries

Food and grocery expenses in Utah are relatively close to the national average. An individual can expect to spend approximately $259 per month on groceries. This figure places Utah among the states with more affordable food shopping. Dining out costs can vary widely depending on location and type of establishment.

Utilities

Utility costs in Utah are generally lower than the national average. The average monthly utility bill for a Utah household is around $271, which includes electricity, natural gas, water, and internet services. Monthly electricity bills average about $157, while natural gas bills can be around $35.

Healthcare

Healthcare expenses have seen an upward trend in Utah. Average healthcare spending per person increased by 19% between 2017 and 2021, reaching approximately $5,000 annually, excluding insurance premiums. While Utah benefits from lower health insurance premiums for employer-sponsored plans, average deductibles are closer to the national average. For 2025, health insurance in Utah costs an average of $675 per month, though subsidies can significantly reduce this for many residents.

Income and Economic Landscape

Utah’s economic landscape features a robust and diversified economy that supports higher-than-average income levels. The median household income in Utah was $91,750 for the period of 2019-2023, which is 17% higher than the U.S. median. When adjusted for localized cost-of-living differences, Utah’s median household income, at over $98,000, ranks highest in the country, nearly 27% above the national average. This can be partly attributed to larger household sizes and higher workforce participation rates within households.

Key industries driving Utah’s economy include technology, healthcare, finance, manufacturing, and tourism. Other significant sectors contributing to the state’s gross domestic product (GDP) are real estate and rental and leasing, and professional, scientific, and technical services. These diverse sectors contribute to a low unemployment rate, which was 3.2% in 2024.

Cost of Living Across Utah Regions

The cost of living in Utah is not uniform across the state, with significant variations between urban centers and more rural areas. Major metropolitan areas, particularly along the Wasatch Front, experience higher costs, predominantly driven by housing. For instance, Salt Lake City’s cost of living is about 8% higher than the state average and 9% higher than the national average. Housing expenses in Salt Lake City are approximately 27% higher than the national average, with median home prices around $548,351.

Other urban areas like Provo-Orem and Ogden-Clearfield also have housing prices well above the national average. In contrast, more rural parts of Utah, such as Price or Vernal, generally offer significantly lower housing costs, with typical home values in the $235,000 to $273,000 range. The average rent for a two-bedroom unit can also vary substantially, ranging from around $905 in Beaver County to $1,807 in Summit County. This regional disparity highlights that strategic location choices within the state can impact affordability.