Lake Forest, CA

Very High · 217

California · Population 85,846 · Updated March 2026

$2,616
Median Rent / Month
$131,378
Median Income
$876,300
Median Home Value
$2,631
Owner Costs / Month

Affordability

How far your income goes in Lake Forest

23.9%
Rent-to-Income Ratio
Affordable
Rent takes less than 25% of median income — considered affordable by HUD standards.

Tax Burden in California

State-level tax rates that affect your costs

13.3%
Income Tax (Top Rate)
7.25%
Sales Tax
0.71%
Property Tax Rate

Estimated Annual Costs

$31,392
Annual Rent
$17,473
State Income Tax
$6,222
Property Tax (est.)

Cost of Living Overview

Lake Forest has a significantly higher cost of living than most US cities, driven largely by premium housing costs. With a cost index of 217 (where 100 equals the national median), Lake Forest residents can expect to pay median rent of $2,616/month while earning a median household income of $131,378/year.

The median home value in Lake Forest, CA is $876,300, with typical monthly owner costs around $2,631 including mortgage, insurance, and taxes. The median rent-to-income ratio of 23.9% means housing is relatively affordable here — well below the 30% threshold that HUD considers cost-burdened.

California's top income tax rate of 13.3% is among the highest in the nation, adding to the overall cost burden. Combined with a 7.25% sales tax rate and 0.71% effective property tax rate, the overall tax environment is a factor in the total cost of living in Lake Forest.

Frequently Asked Questions

Common questions about living costs in Lake Forest

What is the cost of living in Lake Forest, CA?
The cost of living index in Lake Forest, CA is 217 (US average = 100). Median monthly rent is $2,616, median household income is $131,378/year, and the median home value is $876,300.
Is Lake Forest, CA affordable?
No, Lake Forest is more expensive than the national average with a cost index of 217. The rent-to-income ratio is 23.9%—below the 30%% threshold considered affordable by HUD.
What is the average rent in Lake Forest, CA?
The median gross rent in Lake Forest, CA is $2,616 per month according to the US Census Bureau ACS 2023 data. Annual rent costs approximately $31,392.
What is the median household income in Lake Forest?
The median household income in Lake Forest, CA is $131,378 per year. This compares to the national median of approximately $80,000.
What are the taxes like in California?
California has a top income tax rate of 13.3%, a sales tax of 7.25%, and an effective property tax rate of 0.71%.