Is it cheaper to live in Ann Arbor or Hattiesburg?

Hattiesburg, MS is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 37% below Ann Arbor, MI's $1,630, mainly because of rent.

How much more do you need to earn to live in Ann Arbor than in Hattiesburg?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $56,000 a year in Ann Arbor versus $34,000 in Hattiesburg.

Which has lower taxes, Ann Arbor or Hattiesburg?

Ann Arbor is taxed under Michigan's rules (a top state income tax rate of 4.25% and a 6% state sales tax); Hattiesburg under Mississippi's (a top state income tax rate of 4.00% and a 7% state sales tax).

Ann Arbor vs Hattiesburg Cost of Living 2026

Ann Arbor

Michigan

$1,630/mo est.

Hattiesburg

Mississippi

$1,030/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,630 in Ann Arbor, MI versus $1,030 in Hattiesburg, MS. Overall, Hattiesburg, MS is roughly 37% cheaper to live in day-to-day than Ann Arbor, MI, driven mainly by rent.

Median household income is $81,089 in Ann Arbor, MI and $44,140 in Hattiesburg, MS — about 46% higher in Ann Arbor, MI. Michigan has a top state income tax rate of 4.25% and a 6% state sales tax; Mississippi has a top state income tax rate of 4.00% and a 7% state sales tax.

Ann Arbor, MI

Hattiesburg, MS

Rent

Studio

$1,274

$630

+51% in Ann Arbor, MI

1 Bedroom

$1,389

$841

+39% in Ann Arbor, MI

2 Bedroom

$1,692

$980

+42% in Ann Arbor, MI

3 Bedroom

$1,812

$1,195

+34% in Ann Arbor, MI

Buying a Home

Median Home Value

$435,100

$153,600

+65% in Ann Arbor, MI

Income

Median Household Income

$81,089

$44,140

+46% in Ann Arbor, MI

Metro Median Wage (annual)

$55,380

$37,750

+32% in Ann Arbor, MI

People & Lifestyle

Median Age

27.7 yr

28.7 yr

+1.0 yr in Hattiesburg, MS

Homeownership

45.6%

36.5%

+9.1 pp in Ann Arbor, MI

Bachelor's+ (25+)

77.7%

35.0%

+42.7 pp in Ann Arbor, MI

Avg Commute

19.9 min

17.0 min

+2.9 min in Ann Arbor, MI

Crime (per 100k/yr)

Violent Crime

311

221.5

+29% in Ann Arbor, MI

Property Crime

1,744.5

3,475.7

+99% in Hattiesburg, MS

FBI Crime Data Explorer. Offenses per 100,000 residents per year; agency reporting practices vary, so this is approximate.

Climate

Avg Annual Temperature

47.7°F

66.1°F

+18.4°F in Hattiesburg, MS

Annual Precipitation

32.8 in

59.2 in

+26.4 in in Hattiesburg, MS

Gas

Regular Gasoline

$3.85/gal

$3.62/gal

+6% in Ann Arbor, MI

Area: Midwest (PADD 2) vs Gulf Coast (PADD 3).

Utilities

Electricity (¢/kWh)

23.0

14.9

+35% in Ann Arbor, MI

Natural Gas ($/MCF)

$19.72

$29.04

+47% in Hattiesburg, MS

Residential, state-level averages (EIA). MCF = 1,000 cubic feet.

Groceries

Milk (gal)

$4.31

$4.00

+7% in Ann Arbor, MI

Bread (lb)

$1.66

$1.75

+5% in Hattiesburg, MS

Eggs (doz)

$3.63

$2.21

+39% in Ann Arbor, MI

Ground Beef (lb)

$6.77

$6.45

+5% in Ann Arbor, MI

Chicken (lb)

$2.10

$1.90

+9% in Ann Arbor, MI

Bananas (lb)

$0.62

about equal

Average prices — Midwest vs South (BLS). Regional where available, otherwise U.S. average.

State Taxes

Sales Tax (MI / MS)

+1.0 pp in MS

Income Tax (top rate)

4.25%

4.00%

+0.3 pp in MI

Ann Arbor vs Hattiesburg — FAQ

Is it cheaper to live in Ann Arbor or Hattiesburg?: Hattiesburg, MS is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 37% below Ann Arbor, MI's $1,630, mainly because of rent.
How much more do you need to earn to live in Ann Arbor than in Hattiesburg?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $56,000 a year in Ann Arbor versus $34,000 in Hattiesburg.
Which has lower taxes, Ann Arbor or Hattiesburg?: Ann Arbor is taxed under Michigan's rules (a top state income tax rate of 4.25% and a 6% state sales tax); Hattiesburg under Mississippi's (a top state income tax rate of 4.00% and a 7% state sales tax).

Sources: US Census Bureau, ACS 5-Year (rent, income, home value, demographics); NOAA Climate Normals 1981–2010 (climate); EIA weekly retail (gas); Tax Foundation 2026 (state taxes).