Cost of Living: Raleigh, NC vs Ann Arbor, MI (2026)

Raleigh

North Carolina
110
VS

Ann Arbor

Michigan
121

Raleigh is 9% cheaper than Ann Arbor.

$1,468/mo ↓ 5%
Median Rent
$1,552/mo ↑ 6%
$82,424/yr ↑ 2%
Median Income
$81,089/yr ↓ 2%
$377,800 ↓ 13%
Home Value
$435,100 ↑ 15%
$1,487/mo ↓ 9%
Owner Costs
$1,638/mo ↑ 10%
470,763
Population
121,179

Tax Comparison

4.5%
Income Tax
4.25%
4.75%
State Sales Tax
6.0%
0.8%
Property Tax
1.38%

Affordability

21.4%
rent-to-income
Affordability
23.0%
rent-to-income

Detailed Comparison

When comparing Raleigh, NC and Ann Arbor, MI, the overall cost of living indices are 110 and 121 respectively (national median = 100). Rent is $84/month cheaper in Raleigh, saving renters about $1,008/year.

Median household income is $1,335/year higher in Raleigh. Home values also differ significantly — the median in Raleigh is $377,800 compared to $435,100 in Ann Arbor.

Michigan has a lower income tax rate, making Ann Arbor slightly more tax-friendly.

Frequently Asked Questions

Raleigh vs Ann Arbor — common questions

Is Raleigh or Ann Arbor cheaper to live in?
Based on our cost index, Raleigh is cheaper to live in with an index of 110 compared to 121 (US average = 100).
What is the rent difference between Raleigh and Ann Arbor?
Median rent in Raleigh is $1,468/month and in Ann Arbor it's $1,552/month — a difference of $84/month.
Which city has higher income, Raleigh or Ann Arbor?
Median household income is $82,424 in Raleigh and $81,089 in Ann Arbor. Median household income is $1,335/year higher in Raleigh.
How do taxes compare between North Carolina and Michigan?
North Carolina has 4.5% income tax, 4.75% sales tax, and 0.8% property tax. Michigan has 4.25% income tax, 6.0% sales tax, and 1.38% property tax.
Should I move to Raleigh or Ann Arbor?
It depends on your priorities. Raleigh has a cost index of 110 with median rent of $1,468/mo, while Ann Arbor has a cost index of 121 with rent of $1,552/mo. Consider income potential, tax burden, and lifestyle preferences alongside raw cost data.
View Raleigh details → View Ann Arbor details →

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