Is it cheaper to live in Chicago or Raleigh?

Chicago, IL is cheaper. Its monthly baseline of $1,440 (1BR rent + utilities) runs about 3% below Raleigh, NC's $1,490, mainly because of rent.

How much more do you need to earn to live in Chicago than in Raleigh?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $50,000 a year in Chicago versus $53,000 in Raleigh.

Which has lower taxes, Chicago or Raleigh?

Chicago is taxed under Illinois's rules (a top state income tax rate of 4.95% and a 6.25% state sales tax); Raleigh under North Carolina's (a top state income tax rate of 3.99% and a 4.75% state sales tax).

Chicago vs Raleigh Cost of Living 2026

Chicago

Illinois

$1,440/mo est.

Raleigh

North Carolina

$1,490/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,440 in Chicago, IL versus $1,490 in Raleigh, NC. Overall, Chicago, IL is roughly 3% cheaper to live in day-to-day than Raleigh, NC, driven mainly by rent.

Median household income is $75,134 in Chicago, IL and $82,424 in Raleigh, NC — about 9% higher in Raleigh, NC. Illinois has a top state income tax rate of 4.95% and a 6.25% state sales tax; North Carolina has a top state income tax rate of 3.99% and a 4.75% state sales tax.

Chicago, IL

Raleigh, NC

Rent

Studio

$1,186

$1,301

+10% in Raleigh, NC

1 Bedroom

$1,258

$1,323

+5% in Raleigh, NC

2 Bedroom

$1,406

$1,462

+4% in Raleigh, NC

3 Bedroom

$1,554

$1,715

+10% in Raleigh, NC

Buying a Home

Median Home Value

$315,200

$377,800

+20% in Raleigh, NC

Income

Median Household Income

$75,134

$82,424

+10% in Raleigh, NC

Metro Median Wage (annual)

$54,720

$51,990

+5% in Chicago, IL

People & Lifestyle

Median Age

35.7 yr

34.7 yr

+1.0 yr in Chicago, IL

Homeownership

45.5%

51.2%

+5.7 pp in Raleigh, NC

Bachelor's+ (25+)

43.3%

52.9%

+9.6 pp in Raleigh, NC

Avg Commute

33.5 min

23.4 min

+10.1 min in Chicago, IL

Crime (per 100k/yr)

Violent Crime

539.8

491.5

+9% in Chicago, IL

Property Crime

3,489.9

2,838

+19% in Chicago, IL

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

Climate

Avg Annual Temperature

52.7°F

60.6°F

+7.9°F in Raleigh, NC

Annual Precipitation

38.0 in

46.0 in

+8.1 in in Raleigh, NC

Gas

Regular Gasoline

$4.82/gal

$4.30/gal

+11% in Chicago, IL

Area: Chicago vs East Coast (PADD 1).

Public Transit

Base Fare (one-way)

$2.50

$1.25

+50% in Chicago, IL

Adult base one-way fare — CTA vs GoRaleigh (2026).

Utilities

Electricity (¢/kWh)

18.9

16.0

+15% in Chicago, IL

Natural Gas ($/MCF)

$12.10

$17.50

+45% in Raleigh, NC

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

Groceries

Milk (gal)

$4.14

$4.16

+1% in Raleigh, NC

Bread (lb)

$1.79

$1.73

+3% in Chicago, IL

Eggs (doz)

$3.63

$2.19

+40% in Chicago, IL

Ground Beef (lb)

$6.97

$6.56

+6% in Chicago, IL

Chicken (lb)

$2.15

$1.90

+12% in Chicago, IL

Bananas (lb)

$0.63

$0.61

+3% in Chicago, IL

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

State Taxes

Sales Tax (IL / NC)

6.25%

4.75%

+1.5 pp in IL

Income Tax (top rate)

4.95%

3.99%

+1.0 pp in IL

Chicago vs Raleigh — FAQ

Is it cheaper to live in Chicago or Raleigh?: Chicago, IL is cheaper. Its monthly baseline of $1,440 (1BR rent + utilities) runs about 3% below Raleigh, NC's $1,490, mainly because of rent.
How much more do you need to earn to live in Chicago than in Raleigh?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $50,000 a year in Chicago versus $53,000 in Raleigh.
Which has lower taxes, Chicago or Raleigh?: Chicago is taxed under Illinois's rules (a top state income tax rate of 4.95% and a 6.25% state sales tax); Raleigh under North Carolina's (a top state income tax rate of 3.99% and a 4.75% 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).