Yahoo Finance 50 Most Expensive Small Towns in America
If you’re a city dweller, you might sometimes be tempted to give up the rat race for small-town life. Sure, some of that thinking may revolve around Norman Rockwell images of quaint main streets, family-owned shops and diners where everyone knows each other. Based on the current housing market in many major U.S. metropolises, however, you’re probably focused on the potential of buying a modestly priced home in a cost-friendly area.
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But you shouldn’t assume that living in a small town always equates to affordable housing and lower expenses. Not all small towns are priced the same. There are several areas, in particular, where your mortgage wouldn’t feel out of place in some of the nation’s most expensive urban real estate markets.
GOBankingRates looked at towns with 500-15,000 housing units, according to the U.S. Census American Community Survey. Using home values, rent and cost of living data, GOBankingRates found the most expensive small towns in America.
Solana Beach, California
Population: 13,025
Housing Units: 5,278
Average Rent: $4,768
Average Home Value: $2,362,340
Median Property Tax Rate: 0.75%
20% Down Payment: $472,468
Monthly Mortgage Payment: $13,214
Monthly Cost of Necessities (excluding housing): $1,870
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Mercer Island, Washington
Population: 25,506
Housing Units: 9,758
Average Rent: $2,590
Average Home Value: $2,218,301
Median Property Tax Rate: 0.94%
20% Down Payment: $443,660
Monthly Mortgage Payment: $12,409
Monthly Cost of Necessities (excluding housing): $1,806
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Burlingame, California
Population: 31,142
Housing Units: 12,418
Average Rent: $3,090
Average Home Value: $2,670,648
Median Property Tax Rate: 0.75%
20% Down Payment: $534,130
Monthly Mortgage Payment: $14,939
Monthly Cost of Necessities (excluding housing): $2,151
Los Gatos, California
Population: 33,309
Housing Units: 13,036
Average Rent: $3,674
Average Home Value: $2,642,780
Median Property Tax Rate: 0.75%
20% Down Payment: $528,556
Monthly Mortgage Payment: $14,783
Monthly Cost of Necessities (excluding housing): $2,132
Piedmont, California
Population: 11,368
Housing Units: 3,821
Average Rent: $4,669
Average Home Value: $2,532,842
Median Property Tax Rate: 0.75%
20% Down Payment: $506,568
Monthly Mortgage Payment: $14,168
Monthly Cost of Necessities (excluding housing): $2,016
Highland Beach, Florida
Population: 4,244
Housing Units: 2,222
Average Rent: $6,994
Average Home Value: $2,003,440
Median Property Tax Rate: 0.86%
20% Down Payment: $400,688
Monthly Mortgage Payment: $11,207
Monthly Cost of Necessities (excluding housing): $1,944
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Menlo Park, California
Population: 33,677
Housing Units: 11,725
Average Rent: $3,898
Average Home Value: $2,749,252
Median Property Tax Rate: 0.75%
20% Down Payment: $549,850
Monthly Mortgage Payment: $15,379
Monthly Cost Of Necessities (excluding housing): $2,114
Wellesley, Massachusetts
Population: 29,365
Housing Units: 8,668
Average Rent: $3,931
Average Home Value: $1,853,741
Median Property Tax Rate: 1.20%
20% Down Payment: $370,748
Monthly Mortgage Payment: $10,369
Monthly Cost of Necessities (excluding housing): $1,922
Coronado, California
Population: 20,627
Housing Units: 7,147
Average Rent: $4,796
Average Home Value: $2,769,271
Median Property Tax Rate: 0.75%
20% Down Payment: $553,854
Monthly Mortgage Payment: $15,491
Monthly Cost Of Necessities (excluding housing): $1,864
Bellaire, Texas
Population: 17,262
Housing Units: 6,230
Average Rent: $2,813
Average Home Value: $1,017,909
Median Property Tax Rate: 1.74%
20% Down Payment: $203,582
Monthly Mortgage Payment: $5,694
Monthly Cost Of Necessities (excluding housing): $1,848
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Laguna Beach, California
Population: 23,121
Housing Units: 10,536
Average Rent: $4,983
Average Home Value: $2,900,190
Median Property Tax Rate: 0.75%
20% Down Payment: $580,038
Monthly Mortgage Payment: $16,223
Monthly Cost Of Necessities (excluding housing): $1,875
Palos Verdes Estates, California
Population: 13,403
Housing Units: 4,909
Average Rent: $6,750
Average Home Value: $2,726,313
Median Property Tax Rate: 0.75%
20% Down Payment: $545,263
Monthly Mortgage Payment: $15,250
Monthly Cost of Necessities (excluding housing): $2,016
Port Washington, New York
Population: 16,807
Housing Units: 5,738
Average Rent: $4,617
Average Home Value: $1,091,389
Median Property Tax Rate: 1.73%
20% Down Payment: $218,278
Monthly Mortgage Payment: $6,105
Monthly Cost of Necessities (excluding housing): $2,396
Manhattan Beach, California
Population: 35,585
Housing Units: 13,422
Average Rent: $6,344
Average Home Value: $2,994,733
Median Property Tax Rate: 0.75%
20% Down Payment: $598,947
Monthly Mortgage Payment: $16,752
Monthly Cost of Necessities (excluding housing): $1,992
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Great Neck, New York
Population: 11,034
Housing Units: 3,283
Average Rent: $4,070
Average Home Value: $1,386,099
Median Property Tax Rate: 1.73%
20% Down Payment: $277,220
Monthly Mortgage Payment: $7,753
Monthly Cost Of Necessities (excluding housing): $2,387
Southlake, Texas
Population: 30,754
Housing Units: 9,299
Average Rent: $5,468
Average Home Value: $1,191,087
Median Property Tax Rate: 1.74%
20% Down Payment: $238,217
Monthly Mortgage Payment: $6,663
Monthly Cost of Necessities (excluding housing): $1,893
Tiburon, California
Population: 9,146
Housing Units: 3,515
Average Rent: $5,445
Average Home Value: $3,308,347
Median Property Tax Rate: 0.75%
20% Down Payment: $661,669
Monthly Mortgage Payment: $18,506
Monthly Cost of Necessities (excluding housing): $2,040
Saratoga, California
Population: 31,194
Housing Units: 11,039
Average Rent: $5,657
Average Home Value: $3,622,824
Median Property Tax Rate: 0.75%
20% Down Payment: $724,565
Monthly Mortgage Payment: $20,265
Monthly Cost of Necessities (excluding housing): $2,116
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Larchmont, New York
Population: 6,532
Housing Units: 2,102
Average Rent: $5,998
Average Home Value: $1,576,448
Median Property Tax Rate: 1.73%
20% Down Payment: $315,290
Monthly Mortgage Payment: $8,818
Monthly Cost of Necessities (excluding housing): $2,315
Glencoe, Illinois
Population: 8,824
Housing Units: 3,195
Average Rent: $2,123
Average Home Value: $1,261,200
Median Property Tax Rate: 2.23%
20% Down Payment: $252,240
Monthly Mortgage Payment: $7,054
Monthly Cost of Necessities (excluding housing): $1,893
University Park, Texas
Population: 25,029
Housing Units: 7,528
Average Rent: $4,261
Average Home Value: $2,151,513
Median Property Tax Rate: 1.74%
20% Down Payment: $430,303
Monthly Mortgage Payment: $12,035
Monthly Cost of Necessities (excluding housing): $1,851
Los Altos, California
Population: 31,562
Housing Units: 10,805
Average Rent: $5,779
Average Home Value: $4,065,191
Median Property Tax Rate: 0.75%
20% Down Payment: $813,038
Monthly Mortgage Payment: $22,740
Monthly Cost of Necessities (excluding housing): $2,084
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Belmar, New Jersey
Population: 5,869
Housing Units: 2,662
Average Rent: $2,299
Average Home Value: $1,039,537
Median Property Tax Rate: 2.47%
20% Down Payment: $207,908
Monthly Mortgage Payment: $5,815
Monthly Cost of Necessities (excluding housing): $1,820
Bradley Beach, New Jersey
Population: 4,284
Housing Units: 1,956
Average Rent: $2,467
Average Home Value: $1,052,582
Median Property Tax Rate: 2.47%
20% Down Payment: $210,516
Monthly Mortgage Payment: $5,888
Monthly Cost of Necessities (excluding housing): $1,822
Key Biscayne, Florida
Population: 14,530
Housing Units: 4,580
Average Rent: $7,414
Average Home Value: $3,718,520
Median Property Tax Rate: 0.86%
20% Down Payment: $743,704
Monthly Mortgage Payment: $20,800
Monthly Cost of Necessities (excluding housing): $2,025
Westfield, New Jersey
Population: 30,950
Housing Units: 10,514
Average Rent: $2,963
Average Home Value: $1,059,689
Median Property Tax Rate: 2.47%
20% Down Payment: $211,938
Monthly Mortgage Payment: $5,928
Monthly Cost of Necessities (excluding housing): $2,061
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Margate City, New Jersey
Population: 5,402
Housing Units: 2,658
Average Rent: $3,177
Average Home Value: $1,030,587
Median Property Tax Rate: 2.47%
20% Down Payment: $206,117
Monthly Mortgage Payment: $5,765
Monthly Cost of Necessities (excluding housing): $1,791
Sea Bright, New Jersey
Population: 1,532
Housing Units: 876
Average Rent: $2,303
Average Home Value: $1,191,935
Median Property Tax Rate: 2.47%
20% Down Payment: $238,387
Monthly Mortgage Payment: $6,667
Monthly Cost of Necessities (excluding housing): $1,958
Chatham, New Jersey
Population: 9,208
Housing Units: 2,995
Average Rent: $3,096
Average Home Value: $1,137,662
Median Property Tax Rate: 2.47%
20% Down Payment: $227,532
Monthly Mortgage Payment: $6,364
Monthly Cost of Necessities (excluding housing): $2,078
Del Mar, California
Population: 4,008
Housing Units: 1,818
Average Rent: $8,050
Average Home Value: $4,078,818
Median Property Tax Rate: 0.75%
20% Down Payment: $815,764
Monthly Mortgage Payment: $22,816
Monthly Cost of Necessities (excluding housing): $1,922
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Summit, New Jersey
Population: 22,598
Housing Units: 7,853
Average Rent: $2,886
Average Home Value: $1,197,263
Median Property Tax Rate: 2.47%
20% Down Payment: $239,453
Monthly Mortgage Payment: $6,697
Monthly Cost of Necessities (excluding housing): $2,028
Ocean City, New Jersey
Population: 11,211
Housing Units: 5,353
Average Rent: $1,846
Average Home Value: $1,330,603
Median Property Tax Rate: 2.47%
20% Down Payment: $266,121
Monthly Mortgage Payment: $7,443
Monthly Cost of Necessities (excluding housing): $1,865
Tenafly, New Jersey
Population: 15,307
Housing Units: 4,981
Average Rent: $4,475
Average Home Value: $1,082,836
Median Property Tax Rate: 2.47%
20% Down Payment: $216,567
Monthly Mortgage Payment: $6,057
Monthly Cost of Necessities (excluding housing): $2,115
Paradise Valley, Arizona
Population: 12,666
Housing Units: 5,064
Average Rent: $17,000
Average Home Value: $3,222,023
Median Property Tax Rate: 0.62%
20% Down Payment: $644,405
Monthly Mortgage Payment: $18,023
Monthly Cost of Necessities (excluding housing): $1,855
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Rancho Santa Fe, California
Population: 2,914
Housing Units: 984
Average Rent: $9,398
Average Home Value: $4,140,558
Median Property Tax Rate: 0.75%
20% Down Payment: $828,112
Monthly Mortgage Payment: $23,161
Monthly Cost of Necessities (excluding housing): $1,939.
New Canaan, Connecticut
Population: 7,399
Housing Units: 2,817
Average Rent: $5,245
Average Home Value: $1,944,354
Median Property Tax Rate: 2.15%
20% Down Payment: $388,871
Monthly Mortgage Payment: $10,876
Monthly Cost of Necessities (excluding housing): $2,257
Spring Lake, New Jersey
Population: 2,814
Housing Units: 1,285
Average Rent: $3,242
Average Home Value: $1,642,633
Median Property Tax Rate: 2.47%
20% Down Payment: $328,527
Monthly Mortgage Payment: $9,188
Monthly Cost of Necessities (excluding housing): $1,845
Malibu, California
Population: 10,915
Housing Units: 4,442
Average Rent: $13,251
Average Home Value: $3,927,917
Median Property Tax Rate: 0.75%
20% Down Payment: $785,583
Monthly Mortgage Payment: $21,972
Monthly Cost of Necessities (excluding housing): $2,090
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Greenwich, Connecticut
Population: 13,978
Housing Units: 5,530
Average Rent: $5,096
Average Home Value: $2,262,242
Median Property Tax Rate: 2.15%
20% Down Payment: $452,448
Monthly Mortgage Payment: $12,654
Monthly Cost of Necessities (excluding housing): $2,232
Beverly Hills, California
Population: 32,903
Housing Units: 14,401
Average Rent: $4,404
Average Home Value: $5,580,482
Median Property Tax Rate: 0.75%
20% Down Payment: $1,116,096
Monthly Mortgage Payment: $31,216
Monthly Cost of Necessities (excluding housing): $1,991
Short Hills, New Jersey
Population: 14,500
Housing Units: 4,561
Average Rent: $5,693
Average Home Value: $1,906,654
Median Property Tax Rate: 2.47%
20% Down Payment: $381,331
Monthly Mortgage Payment: $10,665
Monthly Cost of Necessities (excluding housing): $2,158
Bal Harbour, Florida
Population: 3,037
Housing Units: 1,379
Average Rent: $7,247
Average Home Value: $5,388,357
Median Property Tax Rate: 0.86%
20% Down Payment: $1,077,671
Monthly Mortgage Payment: $30,141
Monthly Cost of Necessities (excluding housing): $2,030
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Montauk, New York
Population: 4,272
Housing Units: 1,571
Average Rent: $32,111
Average Home Value: $1,821,636
Median Property Tax Rate: 1.73%
20% Down Payment: $364,327
Monthly Mortgage Payment: $10,190
Monthly Cost of Necessities (excluding housing): $2,061
Sag Harbor, New York
Population: 2,480
Housing Units: 1,095
Average Rent: $32,643
Average Home Value: $1,969,777
Median Property Tax Rate: 1.73%
20% Down Payment: $393,955
Monthly Mortgage Payment: $11,018
Monthly Cost of Necessities (excluding housing): $2,103
East Hampton, New York
Population: 1,062
Housing Units: 588
Average Rent: $34,808
Average Home Value: $1,765,851
Median Property Tax Rate: 1.73%
20% Down Payment: $355,170
Monthly Mortgage Payment: $9,878
Monthly Cost of Necessities (excluding housing): $2,112
Westhampton Beach, New York
Population: 2,234
Housing Units: 955
Average Rent: $41,000
Average Home Value: $1,748,975
Median Property Tax Rate: 1.73%
20% Down Payment: $349,795
Monthly Mortgage Payment: $9,783
Monthly Cost of Necessities (excluding housing): $2,177
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Southampton, New York
Population: 4,380
Housing Units: 1,660
Average Rent: $42,333
Average Home Value: $1,993,419
Median Property Tax Rate: 1.73%
20% Down Payment: $398,684
Monthly Mortgage Payment: $11,151
Monthly Cost of Necessities (excluding housing): $2,088
Bridgehampton, New York
Population: 1,447
Housing Units: 525
Average Rent: $46,042
Average Home Value: $3,820,395
Median Property Tax Rate: 1.73%
20% Down Payment: $764,079
Monthly Mortgage Payment: $21,370
Monthly Cost of Necessities (excluding housing): $2,167
Aspen, Colorado
Population: 7,019
Housing Units: 3,278
Average Rent: $32,278
Average Home Value: $8,818,525
Median Property Tax Rate: 0.51%
20% Down Payment: $1,763,705
Monthly Mortgage Payment: $49,328
Monthly Cost of Necessities (excluding housing): $1,620
Palm Beach, Florida
Population: 9,175
Housing Units: 5,359
Average Rent: $13,350
Average Home Value: $11,187,641
Median Property Tax Rate: 0.86%
20% Down Payment: $2,237,528
Monthly Mortgage Payment: $62,580
Monthly Cost of Necessities (excluding housing): $1,964
Joel Anderson contributed to the reporting for this article.
Methodology: To find the most expensive small towns in America, GOBankingRates looked at [1] towns with 500-15,000 housing units, according to the U.S. Census American Community Survey. Once these small towns were located, GOBankingRates used [2] Zillow’s Home Value Index to find each city’s median home value as of September 2023. All cities with a median home value below $1 million or without data were removed. GOBankingRates then found [3] each remaining small town’s median rent listing for single-family residences, as sourced from Zillow. All small towns without data were discarded. GOBankingRates analyzed the remaining small towns across the following factors: [4] annual mortgage for a 10% down payment, [5] annual mortgage for a 20% down payment, using the [6] average September 2023 home value as sourced from Zillow’s Home Value Index and the [7] average national 30 year fixed-rate mortgage rate as sourced from the Federal Reserve Economic Data. The property tax for each state was also sourced for supplemental information, as sourced from Forbes. The [8] cost of living for grocery, transportation, utilities and healthcare costs within each city was sourced from Sperlings BestPlaces, and using the [9] national average expenditure costs as sourced from the Bureau of Labor Statistics Consumer Expenditure Survey, the average expenditure costs for each city were calculated. The September 2023 average rent was scored and weighted at 1.00; the September 2023 average home value was scored and weighted at 1.00; the property tax rate was scored and weighted at 0.75; the 10% down payment mortgage was scored and weighted at 1, while the 20% down payment mortgage was not counted in the scoring, as that would weigh the mortgage score too heavily and the mortgage is already counted; the average monthly expenditure costs were scored and weighted at 1.00. All the scores were combined and sorted to show the most expensive small towns in America. All data was collected and is up to date as of Nov. 14, 2023.
Photo Disclaimer: Please note photos are for representational purposes only. As a result, some of the photos might not reflect the locations listed in this article.
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This article originally appeared on GOBankingRates.com: 50 Most Expensive Small Towns in America
