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Rank #4 · NY

New York

New York's statewide cost is dominated by NYC and its commuter belt. Outside the five boroughs, upstate New York is surprisingly affordable, but transit, taxes, and rent in the metro area drive the average sharply upward.

Cost index
138.1
Housing index
187.2
Median home
$475K
1BR rent
$2,950
Median income
$81K
Top income tax
10.9%
Sales tax
4%
Avg. gas
$3.46

Cost breakdown by category

All values indexed to 100 = US average.

Housing187.2
Groceries116.2
Utilities116.4
Transportation116.6
Healthcare114.4

Why New York is expensive

  • 01NYC rent-stabilization quirks and limited new construction outside Brooklyn/Queens.
  • 02City + state combined top income tax exceeds 14.7% for high earners in NYC.
  • 03Highest average property tax bill in the nation (Westchester, Nassau).
  • 04Sales tax stacks: 4% state + up to ~5% local in NYC = 8.875%.

Metro snapshots

New York City
Manhattan 1BR rent ~$4,500/mo; Brooklyn ~$3,400.
Buffalo
Median home ~$235K; cost of living below US average.
Albany
State capital; balanced housing market and steady wages.

More affordable alternatives in New York

BuffaloRochesterSyracuseAlbanyUtica
Pro tips

Surviving New York on a budget

  • If your job is remote, upstate NY can cut total cost of living by 40%+.
  • STAR property-tax exemption is worth claiming for primary residences.
  • Use the MTA over car ownership — NYC car costs (parking, insurance) average $500+/mo.
CostlyStates

An editorial atlas of the most expensive states to live in, updated annually with BEA, MERIC, and Census data.

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Sources
  • BEA Regional Price Parities
  • MERIC Cost of Living Index
  • US Census ACS 5-Year
  • Tax Foundation State Data
© 2026 CostlyStates. Editorial use only.Figures reflect 2024–2026 reporting periods.