The Cost of Living in the Suburbs of Detroit: An In-Depth Analysis
Choosing to live in the suburbs of Detroit can be a significant decision for many individuals and families. The cost of living in these areas can vary widely depending on the specific location. Parents, working professionals, and young families might have different priorities when it comes to choosing where to live. In this article, we will explore the cost of living in various Detroit suburbs, offering a comprehensive look at the real estate and property taxes. Additionally, we will discuss the overall cost of living compared to other major metropolitan areas in the United States.
The Cost of Real Estate and Property Taxes in Detroit Suburbs
When considering where to live in the Detroit suburbs, the cost of real estate and property taxes is a critical factor. Different suburbs have different pricing trends and living conditions. Let's take a closer look at some of the major suburbs:
Franklin Village, Birmingham, Bloomfield Hills, and Others
These cities are known for their upscale real estate, which can be quite pricey. Both property values and property taxes tend to be on the higher end. Residents in these areas often face higher living costs, but the quality of life can be significant due to excellent schools, a vibrant community, and a variety of recreational opportunities.
Suburbs with Moderate Costs of Living
Other suburbs like Livonia, Dearborn, Rochester/Rochester Hills, and Novi offer a much more balanced cost of living. Property values and taxes here are more accessible, making these areas popular among families and working professionals looking for a better balance between affordability and quality of life.
More Affordable Suburbs
When it comes to affordability, areas like Warren, Dearborn Hts, Canton, Redford, and Southfield stand out. These suburbs offer much more affordable real estate and overall living costs. With lower property prices, residents can often afford more space or additional amenities that might be out of reach in the more expensive suburbs.
Avoiding Downriver Suburbs Close to Detroit
My advice is to avoid the Downriver burbs, which are located close to Detroit. These areas can be somewhat riskier from a safety perspective, with higher crime rates. While there might be some affordable real estate options, the potential risks to you and your family should be carefully considered before making a move.
Comparison with Other Major Metropolitan Areas
According to recent statistics, the cost of living in the Detroit metro area is generally below the median compared to other major metropolitan areas. It is not as cheap as rural areas but still offers a lower cost of living than cities such as Chicago, Dallas, Boston, and Philadelphia. In terms of affordability, Detroit remains well below the costs in major metropolitan areas such as Toronto, New York, and San Francisco.
Median Cost of Living vs. Rural and Urban Areas
It is interesting to note that the cost of living in the Detroit area is closer to the median when compared to the affordability of rural areas. For instance, living in rural areas such as Iowa or Montana can be significantly cheaper than living in the Detroit suburbs, while still offering a decent quality of life with affordable housing and cost-effective living conditions.
Real Estate Price Analysis
A useful resource that provides a clear picture of real estate prices in the Detroit metro area is the 2017 Bistate Development Luncheon paper by the Fed. This report offers valuable insights and can serve as a benchmark for when considering real estate purchases or investments in the region.
Conclusion
The cost of living in the Detroit suburbs is highly variable, with significant differences in real estate prices and overall living costs depending on the specific location. While some areas offer a high-quality of life with upscale amenities and excellent schools, others provide a more balanced and affordable living environment.
For those contemplating relocating to or living in the suburbs of Detroit, it is essential to do thorough research and consider your personal priorities and financial situation. By understanding the factors that influence the cost of living in these areas, you can make an informed decision that best suits your needs.