Imagine living in a city with so much appeal to both the young and old. That's not all; take your imagination a bit further. Visualize a place with all the urban city vibes you love coupled with a cheap living cost, where your dollar goes a long way!
Sounds like a treat, right?
Well, Des Moines, Iowa, is your reality. Living costs here are astonishingly 12% lower than the national average. To put it into perspective, if $40,000 was enough for you to live comfortably in Chicago, Des Moines would only require $30,853 from you for the same lifestyle.
To help you understand the average cost of living Des Moines residents experience, let's walk you through it.
What do the elegant colonial, Tudor-style homes cost in Des Moines? For starters, home prices in Des Moines, IA (buying and renting) are about 29% lower than the average American city.
It's not like Boston or Chicago, where you'll have to dig deep into your wallets each month for rent or save up years to buy a house.
However, you should also know that it's becoming slightly competitive here, accompanied by rising real estate market prices.
If you intend to buy a home in the city, you should probably know that the current price range, depending on your neighborhood, is between $10,000 and $4.3 million.
A bit more detail for renters:
Housing Type | Cost |
Studio | $814 |
1 Bedroom | $875 |
2 Bedroom | $1,195 |
3 Bedroom | $1,600 |
4+ Bedroom | $2,338 |
Note:
According to data from Des Moines movers and realtors, areas like Union Park have more lenient housing valuations. However, expect more pricey real estate in areas like Downtown Des Moines and Salisbury Oaks.
Utility bills follow housing costs closely on the "who's is cheaper" list.
Here in Des Moines, everything from your phone bill to electricity and water bill will cost you less than it would for most Americans. Based on collected data, the cost of utility in the city is roughly 14% lower than the national average.
Even compared to other cities in Iowa, utility costs here still beat the average by 10%, making the Hartford of the West a perfect spot for those on a tight budget.
On average, expect to spend about $280 - $400 on utility bills while in Des Moines. However, your bill could be lower or higher, depending on your neighborhood and how you run your utilities.
Note:
Summer heat and winters are sometimes brutal around these parts of Iowa. So, you might want to plan for increased energy bills due to higher home air conditioner and heater usage during these seasons.
What is the cost of living in Iowa when it comes to food prices, and how does it match its capital city?
When you put the state and national averages side-by-side with Des Moines, the difference isn't exactly so obvious. While you will definitely spend less on food and grocery items in the city, the difference is a mere 1%.
Let's run you through the cost of some basic items in the city:
Groceries | Costs |
Bread | $4.10 |
Milk (A gallon) | $4.82 |
Eggs (dozen) | $3.99 |
Ground Beef | $6.36 |
Cheese | $4.62 |
Bananas | $0.64 |
Potatoes | $4.63 |
Lettuce | $1.93 |
Cooking Oil | $7.16 |
The healthcare benefits of living in Des Moines are worth every penny, and the best part is that it's pretty affordable, too.
Unlike most parts of the U.S., a doctor's visit or medical emergency without insurance shouldn't cause you a scare here. The average price tag for healthcare services in the city is 6% cheaper compared to similar areas its size in the country.
Medical Care | Cost |
Doctor’s Visit | $129.05 |
Dentist Visit | $96.60 |
Optometrist Visit | $125.16 |
Veterinary Visit | $55.97 |
RX Drug | $443.20 |
Note:
Remember the healthcare benefits? Well, Des Moines has enough highly rated hospitals in its metro area.
For instance, the VA Central Iowa Medical Center received a 5-star rating from the Centers for Medicare and Medicaid Services (CMS) for its high-quality practices.
The cost of living Des Moines offers its residents also comes at a rate cheaper than both state and national averages. For instance, regular bus tickets and transit bills run 9% lower than most U.S. cities and 13% less than the state average.
However, the Des Moines Area Regional Transit Authority (DART) runs limited services, especially on weekends and at night.
You might just want to budget for Des Moines gas prices and car maintenance because it would most likely be your major means of commuting.
Average Commute Time: 24 minutes
Note:
The city also has bikeable paths and offers a BCycle bike-share program for easier and faster commutes.
Buying clothes, going to the cinema, visiting the gym, paying for yoga classes—what will all that cost?
It's simple: imagine whatever you think the average price for these things is minus 5%. Or, if you're already an Iowan, just conjure up a thought where paying for services is about 2% lower.
If you have a lifestyle habit for entertainment and the outdoors, then the cost of living Des Moines offers for this category should entice you.
Here's a quick look at the average price tag of goods and services in Des Moines:
Goods and Services | Cost |
Men's Shirt | $38.22 |
Women's Slacks | $34.33 |
Movie Ticket | $11.17 |
Haircut | $20.63 |
Beauty Salon | $41.00 |
Yoga | $20.87 |
Dry Cleaning | $15.18 |
Now, here's where things take a different turn when compared to the national average!
The median household income in Des Moines isn't as high or higher than what most Americans earn across different cities in the country.
But it's not completely a bad statistic! Remember, life here is already affordable, and your median income is more than sufficient to cover your needs.
Let's say you plan on starting a business in the city; the average cost of operation is more lenient on your pockets by 12%. Due to its less expensive economy, Des Moines has become a magnet for many small and major corporations—even startups.
Note:
If you're in search of a job in Des Moines, the major employing industries are the insurance sectors, financial services, healthcare, and distribution and logistics.
Just how much of your earnings are going back to the government?
Well, Iowa still has a graduated personal income tax rate like other states, with the top percentile at 5.7%. However, upon the new bill being signed, the state plans to implement a flat tax rate starting in 2025.
The sales tax rate, on the other hand, isn't the same across the state. Des Moines uses Iowa's sales tax rate of 6% plus its local county rate of 1%.
Note:
The property tax rate in the city of Des Moines has changed over the past years. However, in 2021, the official rate agreed upon was $16.61, charged per every $1,000 of taxable value.
What would living comfortably in the Hartford of the West cost you?
The answer: not much, apparently!
The cost of living Des Moines offers any resident is cheap—much more affordable than both state and national standards. So, if you're interested in a city with less strain on your wallets and don't mind the Midwestern beauties, then Des Moines is worth your gaze.
All that's left for you to do is read more details about what it truly feels like to be a local here and determine if it's the right place for you to call home.
Good luck!
