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If you’re looking for the archetypal New England lifestyle, Vermont is a dream come true. This idyllic New England state has lush forests, rolling mountains and scenic lakes. Covered bridges and charming towns dot the landscapes, giving locals near-instant access to hiking, boating and skiing in the winter. Every fall, Vermont cities are also treated to the spectacular display of the changing foliage. All those tree-filled forests also help produce Vermont’s famous maple syrup.
Unfortunately, living in the Green Mountain State will also cost you a fair amount of green. The overall cost of living in Vermont is 16.9 percent higher than the national average. But don’t despair. Understanding how the cost of living breaks down around the state will help you find the right place in Vermont to call home. Let’s dive into the cost of living in different cities around Vermont and what you can expect to pay for various necessities like housing or groceries.
Vermont housing prices
Housing costs in Vermont are the most expensive cost of living category in the state. Considering that Vermont exclusively has small cities and towns, the cost of housing is discouraging. Everyone wants a taste of that charming small-town life, but such towns also have limited housing and space to grow. However, there are still ways you can find affordable housing even in the biggest city. Let’s take a look at what rents are like in Vermont’s largest city.
Burlington
Located on the shores of Lake Champlain, Burlington is Vermont’s most populous city with 44,781 residents. Together with nearby South Burlington, it makes up the greater Burlington-South Burlington metro area. This vibrant college town is home to the University of Vermont and Champlain College. As such, the town has a lively urban center and is a regional hub for art, culture, dining and shopping. It’s considered one of the best places to live in the state.
The cost of housing in this college town is 37.1 percent higher than the national average. Usually, housing in college towns is more on the affordable side. But if you want a unit larger than a one-bedroom for a reasonable price, you may need to find roommates. One-bedroom apartments in Burlington go for an average of $1,100 per month. This amount is down 29 percent from last year.
But two-bedroom units are truly expensive at $1,975 a month. That number is also down 18 percent from the previous year. Three-bedrooms are slightly cheaper at $1,725 with no change from last year. Although pricey, both one-bedroom and two-bedroom units in Burlington go for less than the national average.
Burlington’s housing market isn’t much better, either. Prices have jumped 27.2 percent from last year, making the median sales price for a home in Burlington around $605,000. That’s quite a jump from the national median sale price of $430,695.
Vermont food prices
Going to the grocery store or dining out is also going to cost you big in Vermont. Many locals complain that they pay a lot more for food here. The data backs it up. Grocery costs in Burlington are 3.7 percent above the national average. Vermonters are also among the top states for annual food spending. In a year, the average Vermonter will spend over $4,001 annually on food per person. That’s over $333 per month.
To illustrate how these high averages look in real-time when browsing the aisles of a Burlington grocery store, let’s look at the costs for some basic food items. A dozen eggs cost $2.23. For comparison, these dozen eggs would cost $2.07 in the neighboring state of New Hampshire. Picking up a half-gallon of milk in Burlington will set you back $3.25. Grabbing some steak? It comes out to $13.20. Add rising inflation to these costs and grocery bills around Vermont are skyrocketing.
It’s not just grocery costs that are high. Higher food costs overall also impact prices at local restaurants. If you want to go out on a fancy date night for a three-course meal, it will cost around $60. In the state capital of Montpelier, the cost jumps 27.27 percent to $82.50.
Vermont utility prices
One thing about the cost of living in Vermont is that you can feel good about paying for utilities like electricity. The vast majority of its electricity comes from renewable resources like hydropower. In fact, Vermont has been one of the forerunners in leading the renewable energy charge. If knowing your power is coming from a more sustainable source is important to know, Vermont is one of the best states to live in.
Living in Burlington, your utility costs are about 22.2 percent above the national average. That means your total energy bill for the month will come out to around $249.93. But it’s for a good cause. In 2015, Burlington became the first city to run completely on renewable energy in the U.S. On both the state and local levels, Vermont is a pioneering force for renewable energy in modern cities.
Another important utility to consider is the internet. Lots of smaller towns and rural areas around the state still lack high-speed internet. Luckily, Burlington boasts high-speed connections for about $81.43 a month for a 60 megabits-per-second package. In a college town, having good internet is a necessity. If you plan to live in Burlington or in major towns like Montpelier or Stowe, having access to the internet isn’t a problem. But other places throughout the state aren’t as well-connected. Luckily, plans are in the works to bring high-speed internet to other parts of the state. The average internet bill in Vermont is $30, compared to the national average of $56. So, internet cost and access vary widely throughout Vermont. If internet access is a necessity for you, that’s something to consider when deciding where to live.
Vermont transportation prices
Similar to other costs of living categories in Vermont, the price of transportation in Vermont is higher than the national average. In Burlington, transportation is 19.3 percent above the national average. Not every town in Vermont has public transportation. But, most of the bigger cities and towns like Rutland and Montpelier do operate bus routes. Inter-city and regional bus routes exist, as well.
Green Mountain Transit Authority in Burlington
Consisting of a fleet of buses, Green Mountain Transit Authority provides mass transit services to Burlington, Chittenden County and neighboring cities like Montpelier. Fares vary by local routes in different counties. In Chittenden County where Burlington is, a single adult fare costs $1.50. A monthly pass is $40. However, Green Mountain Transit Authority buses are all currently fare-free through June 30, 2023. So, if you use the bus to get around Burlington, you’ll already be saving money on things like gas and parking.
As a close-knit college town, it’s also easy to get around Burlington on foot or by bike. The town boasts a high walk score of 69 and an even higher bike score of 81.
Vermont healthcare prices
Vermont is often heralded as being one of the healthiest states in America. Healthcare costs here are higher than the national average. But Vermonters are clearly receiving top-notch care for such high prices toward the cost of living in Vermont. However, it’s important to note that healthcare costs vary widely by person. Based on factors like pre-existing conditions or higher-priced prescription drugs, two people living in the same town may pay wildly different rates for healthcare. That’s why it’s so difficult to determine accurate healthcare averages. But to give you a rough baseline, Burlington is 11.7 percent above the national average. A doctor’s visit will cost about $126 on average.
Going to the dentist in Burlington is even more expensive at $137. For those prices, though, you’re being seen at some of the state’s premier medical facilities.
Vermont goods and services prices
Since most of Vermont’s other cost of living categories exceed the national average, naturally, the cost of miscellaneous goods and services is also higher than the national average. This category covers all assorted spending for non-essential but still important items and services like getting a haircut or going to the dry cleaners. In Burlington, these costs are 1.8 higher than the national average.
If you spill some sticky Vermont maple syrup on your shirt, taking it to the dry cleaners will run you a bill of around $22.95. Going to get a haircut will cost about $24. If you want to see a movie, tickets are around $11.75.
There’s another important subcategory of miscellaneous goods and services you need to consider. That is the cost of childcare. Sadly for parents in the Burlington area, you’ll be paying the most to have someone keep an eye on your kids. A month of private preschool or kindergarten comes with a hefty price tag of $1,138.67. But in the state capital of Montpelier, it’s only $300. That’s a price difference of 279.56 percent.
Taxes in Vermont
Vermont’s statewide sales tax is 6 percent. If you go out and buy $1,000 worth of premium Vermont maple syrup, you’ll be paying $60 on top of that for tax.
Burlington adds a 1 percent city tax onto the state sales tax, making the combined tax rate 7 percent in the city.
A $10 difference is rarely a big deal. But with prices being what they are in Vermont, $10 is the difference between picking up some extra grocery items and not.
How much do I need to earn to live in Vermont?
The cost of living in Vermont is clearly up there. So, does it fit with your budget? When considering if you can afford to live somewhere, the most important category to consider is housing. This is because housing costs usually take the biggest chunk out of your monthly budget. The general rule of thumb is that you should only spend around 30 percent of your gross monthly income on housing.
Considering that the average monthly rent in Burlington is $1,100, you’d need to make $3,666 a month to adhere to the 30 percent rule. Annually, that comes out to an income of $43,992. Vermont’s median household income is $63,477. So, even though housing costs are higher here, higher household incomes offset it.
To figure out what part of Vermont fits your budget, use our rent calculator.
Living in Vermont
Vermont is definitely not the cheapest state to live in. Everything from food prices to housing costs is higher than the national average. But you get a lot of bang for your buck here, too. From friendly communities to beautiful landscapes, it’s a wonderful place to call home if you want to connect with nature and live a more relaxed lifestyle. That is if your budget can accommodate the cost of living in Vermont.
The Cost of Living Index comes from coli.org.
The rent information included in this summary is based on a calculation of multifamily rental property inventory on Rent. as of June 2022.
Rent prices are for illustrative purposes only. This information does not constitute a pricing guarantee or financial advice related to the rental market.
Source: rent.com