Is it cheaper to live in Ann Arbor or Nashua?

Ann Arbor, MI is cheaper. Its monthly baseline of $1,630 (1BR rent + utilities) runs about 2% below Nashua, NH's $1,660, mainly because of electricity costs.

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

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $56,000 a year in Ann Arbor versus $55,000 in Nashua.

Which has lower taxes, Ann Arbor or Nashua?

Ann Arbor is taxed under Michigan's rules (a top state income tax rate of 4.25% and a 6% state sales tax); Nashua under New Hampshire's (no state income tax and no state sales tax).

Ann Arbor vs Nashua Cost of Living 2026

Ann Arbor

Michigan

$1,630/mo est.

Nashua

New Hampshire

$1,660/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 $1,660 in Nashua, NH. Overall, Ann Arbor, MI is roughly 2% cheaper to live in day-to-day than Nashua, NH, driven mainly by electricity costs.

Median household income is $81,089 in Ann Arbor, MI and $92,457 in Nashua, NH — about 12% higher in Nashua, NH. Michigan has a top state income tax rate of 4.25% and a 6% state sales tax; New Hampshire has no state income tax and no state sales tax.

Ann Arbor, MI

Nashua, NH

Rent

Studio

$1,274

$1,127

+12% in Ann Arbor, MI

1 Bedroom

$1,389

$1,383

+0% in Ann Arbor, MI

2 Bedroom

$1,692

$1,699

+0% in Nashua, NH

3 Bedroom

$1,812

$1,951

+8% in Nashua, NH

Buying a Home

Median Home Value

$435,100

$373,100

+14% in Ann Arbor, MI

Income

Median Household Income

$81,089

$92,457

+14% in Nashua, NH

Metro Median Wage (annual)

$55,380

$56,530

+2% in Nashua, NH

People & Lifestyle

Median Age

27.7 yr

39.7 yr

+12.0 yr in Nashua, NH

Homeownership

45.6%

56.4%

+10.8 pp in Nashua, NH

Bachelor's+ (25+)

77.7%

40.5%

+37.2 pp in Ann Arbor, MI

Avg Commute

19.9 min

25.3 min

+5.4 min in Nashua, NH

Crime (per 100k/yr)

Violent Crime

311

164.9

+47% in Ann Arbor, MI

Property Crime

1,744.5

1,269

+27% in Ann Arbor, MI

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

49.2°F

+1.5°F in Nashua, NH

Annual Precipitation

32.8 in

44.6 in

+11.8 in in Nashua, NH

Gas

Regular Gasoline

$3.85/gal

$3.94/gal

+2% in Nashua, NH

Area: Midwest (PADD 2) vs East Coast (PADD 1).

Utilities

Electricity (¢/kWh)

23.0

27.0

+17% in Nashua, NH

Natural Gas ($/MCF)

$19.72

$21.67

+10% in Nashua, NH

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

Groceries

Milk (gal)

$4.31

about equal

Bread (lb)

$1.66

$1.92

+16% in Nashua, NH

Eggs (doz)

$3.63

$2.19

+40% in Ann Arbor, MI

Ground Beef (lb)

$6.77

$6.90

+2% in Nashua, NH

Chicken (lb)

$2.10

$2.19

+4% in Nashua, NH

Bananas (lb)

$0.62

$0.69

+12% in Nashua, NH

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

State Taxes

Sales Tax (MI / NH)

None

+6.0 pp in MI

Income Tax (top rate)

4.25%

None

+4.3 pp in MI

Ann Arbor vs Nashua — FAQ

Is it cheaper to live in Ann Arbor or Nashua?: Ann Arbor, MI is cheaper. Its monthly baseline of $1,630 (1BR rent + utilities) runs about 2% below Nashua, NH's $1,660, mainly because of electricity costs.
How much more do you need to earn to live in Ann Arbor than in Nashua?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $56,000 a year in Ann Arbor versus $55,000 in Nashua.
Which has lower taxes, Ann Arbor or Nashua?: Ann Arbor is taxed under Michigan's rules (a top state income tax rate of 4.25% and a 6% state sales tax); Nashua under New Hampshire's (no state income tax and no 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).