Morro Bay, CA

Very High · 180

California · Population 10,717 · Updated March 2026

$1,820
Median Rent / Month
$92,553
Median Income
$864,900
Median Home Value
$1,847
Owner Costs / Month

Affordability

How far your income goes in Morro Bay

23.6%
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

$21,840
Annual Rent
$12,310
State Income Tax
$6,141
Property Tax (est.)

Cost of Living Overview

Morro Bay has a significantly higher cost of living than most US cities, driven largely by premium housing costs. With a cost index of 180 (where 100 equals the national median), Morro Bay residents can expect to pay median rent of $1,820/month while earning a median household income of $92,553/year.

The median home value in Morro Bay, CA is $864,900, with typical monthly owner costs around $1,847 including mortgage, insurance, and taxes. The median rent-to-income ratio of 23.6% 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 Morro Bay.

Frequently Asked Questions

Common questions about living costs in Morro Bay

What is the cost of living in Morro Bay, CA?
The cost of living index in Morro Bay, CA is 180 (US average = 100). Median monthly rent is $1,820, median household income is $92,553/year, and the median home value is $864,900.
Is Morro Bay, CA affordable?
No, Morro Bay is more expensive than the national average with a cost index of 180. The rent-to-income ratio is 23.6%—below the 30%% threshold considered affordable by HUD.
What is the average rent in Morro Bay, CA?
The median gross rent in Morro Bay, CA is $1,820 per month according to the US Census Bureau ACS 2023 data. Annual rent costs approximately $21,840.
What is the median household income in Morro Bay?
The median household income in Morro Bay, CA is $92,553 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%.