Raleigh, NC, consistently ranks among the best places to live in the U.S. Known as the “City of Oaks,” Raleigh is celebrated for its strong job market, excellent educational institutions, and high quality of life. But what about the cost of living in Raleigh, NC? Is it truly an affordable place to call home?

In this guide, we’ll break down the expenses you can expect when living in Raleigh, covering everything from housing and utilities to groceries and entertainment. Whether you’re planning a move or just curious about the area, this comprehensive guide will help you understand what it costs to live comfortably in North Carolina’s capital city.

Housing Costs in Raleigh

Housing is often the biggest expense for residents, and Raleigh is no exception. Over the years, the city has seen a steady rise in home prices due to its growing popularity and booming job market.

• Home Prices – The median home price in Raleigh is around $450,000. While this is higher than the national average, it remains more affordable than cities like Charlotte, Atlanta, or Washington, D.C.
• Renting – Renting in Raleigh can be a great option, especially for those not ready to commit to buying a home. A one-bedroom apartment in the downtown area costs around $1,600 per month, while the same apartment in the suburbs may be closer to $1,300.

Overall, housing costs in Raleigh are reasonable compared to other major metropolitan areas, making it an attractive choice for young professionals and families.

Utilities and Monthly Bills

Once you’ve secured housing, the next step is budgeting for utilities. Utility costs in Raleigh are relatively moderate, though they can fluctuate based on the season.

• Electricity and Water – Expect to pay around $150 to $200 per month for electricity, heating, cooling, and water. Summers can be hot and humid, leading to higher air conditioning costs.
• Internet and Cable – High-speed internet services range from $50 to $100 per month, depending on your provider and plan. Cable TV packages, if desired, can add another $50 to $100.

Overall, utilities in Raleigh are not excessively expensive and remain in line with national averages.

Food and Grocery Expenses

Grocery costs in Raleigh are quite reasonable, especially when compared to larger cities. The city offers a mix of national supermarket chains like Harris Teeter, Publix, and Whole Foods, as well as local farmers’ markets and discount grocery stores.

• Average Monthly Grocery Bill – A single person can expect to spend around $300 to $400 per month on groceries, while a family of four may spend between $700 and $1,000.
• Eating Out – Raleigh’s restaurant scene is thriving, offering everything from Southern comfort food to international cuisine. A meal at an inexpensive restaurant costs around $15, while a mid-range three-course meal for two can cost around $60.

If you prefer to cook at home, Raleigh’s affordable grocery prices can help you keep food costs under control.

Transportation Costs

Raleigh is a car-friendly city, but public transportation options are also available. Your transportation expenses will largely depend on your commuting habits and lifestyle.

• Gas Prices – Gas prices in Raleigh are slightly below the national average, hovering around $3.50 per gallon.
• Public Transportation – The GoRaleigh bus system offers an affordable way to get around, with a single ride costing $1.25 and monthly passes available for $50.
• Car Insurance – Car insurance in Raleigh costs an average of $1,200 per year, though rates can vary based on your driving history and coverage level.

Many residents find owning a car to be the most convenient option, but public transit is a viable alternative for those who live near bus routes.

Healthcare Expenses

Healthcare is an important factor when considering the cost of living in Raleigh, NC. Fortunately, the city is home to top-rated hospitals and healthcare facilities, ensuring access to quality medical services.

• Doctor’s Visits – A routine doctor’s visit costs around $120 without insurance. With insurance, copays typically range from $20 to $50.
• Health Insurance – The cost of health insurance depends on coverage level and provider, but individual plans typically range from $300 to $600 per month.

Compared to other cities, healthcare costs in Raleigh are moderate, and residents have access to some of the best medical professionals in the state.

Education and Childcare Costs

For families with children, education and childcare are major considerations. Raleigh is known for its strong public school system and renowned universities.

• Public Schools – Raleigh’s public schools are highly rated, and attending them comes at no additional cost beyond property taxes.
• Private Schools – Private school tuition can range from $7,000 to $25,000 per year, depending on the institution.
• Childcare – The cost of daycare varies but typically falls between $800 and $1,200 per month for full-time care.

Raleigh is an excellent place for families, offering strong educational opportunities and relatively affordable childcare compared to other major cities.

Entertainment and Leisure Activities

Living in Raleigh means enjoying a variety of entertainment options, from outdoor adventures to cultural attractions. Here’s what you can expect in terms of leisure expenses:

• Gym Memberships – A gym membership costs between $30 and $70 per month, depending on the facility.
• Movie Tickets – A ticket to a movie theater costs around $12.
• Outdoor Activities – Raleigh has many free or low-cost outdoor attractions, including hiking trails, parks, and lakes.

The city’s relatively low entertainment costs make it easy to enjoy a high quality of life without breaking the bank.

Taxes in Raleigh

North Carolina has a relatively low tax burden compared to many other states. Here’s a quick breakdown:

• Income Tax – North Carolina has a flat income tax rate of 4.75%.
• Sales Tax – The combined state and local sales tax rate in Raleigh is 7.25%.
• Property Taxes – Property taxes are fairly reasonable, averaging about 0.86% of a home’s value.

Taxes in Raleigh are manageable, making the city an appealing destination for those looking to keep more of their income.

Is Raleigh an Affordable Place to Live?

So, is Raleigh truly affordable? The answer depends on your lifestyle and budget. While housing prices have risen in recent years, Raleigh still offers a better cost of living than many other major U.S. cities. The city provides a strong job market, quality schools, and excellent amenities, making it a great place to settle down.

If you’re planning a move to the area, working with Raleigh movers can make your transition smooth and stress-free.