New York City is the most expensive city in America and is also known as the most populated. There are about 3 million people who work in Manhattan each day. more than half of all these commuters use public transport to move from the city to the outer boroughs where they live.
The daily round-trip travel on NYC and New Jerseys packed trains and subways are especially jam-packed at times.
You may be wondering why people don’t live in the city that they work in. however, for many people, the city they work in is too expensive and it actually works out cheaper to travel daily to work. It many be cheaper to check available rooms in NYC or New Jersey, which allow you to share the room with others as well.
To work out the total monthly cost for each place, lets take a look at theaverage home prices and annual property taxes. This has been calculatedby using the monthly mortgage payment for each assuming a 20% down payment and 4% interest on a 30-year fixed rate mortgage.
These figures are then added together, in addition to the cost of either a monthly subway pass(NYC) or PATH train pass (New Jersey).
How much it costs to live in New Jersey versus New York City
It is important to take into account the utilities, tax breaks and maintenance fees. These costs are more specific to homeowners, but they are also relevant to renters as well. Research revealed that Manhattan is the most expensive place for homeowners with an average monthly cost of $4500. The plus side to this is that the travel time is shorter than average.
Newark and Jersey City are much more affordable than New York City’s outer boroughs, despite New Jersey having the highest property tax rate in the country.
Cost of living
Manhattan: $4,531 a month
Median home price: $965,300
Monthly mortgage payment: $3,687
Monthly subway pass: $121
Brooklyn: $2,857 a month
Median home price: $625,400
Monthly mortgage payment: $2,389
Monthly subway pass: $121
Bronx: $1,908
Median home price: $384,700
Monthly mortgage payment: $1,469
Monthly subway pass: $121
Jersey City: $2,036 a month
Median home price: $337,100
Monthly mortgage payment: $1,287
Monthly PATH pass: $89
Hoboken: $4,101 a month
Median home price: $694,400
Monthly mortgage payment: $2,652
Monthly PATH pass: $89
Newark: $1,381 a month
Median home price: $210,200
Monthly mortgage payment: $803
Monthly PATH pass: $89
The above is just an idea of the estimated costs involved when living in New York City versus New Jersey. You can always scout around for prices and opt to commute daily into the city using the subway or bus when needed. Alternatively, consider co-living as an option to rent a room in the location you wish to stay. There are many changes you can make when deciding to move or live on a budget so don’t let the expensive costs scare you into thinking that it is not possible.
