Survey Reveals Cities Across America Where Residents Say the High Cost of Living Is Most Worth It

Manhattan, Miami, and Malibu are often cited among the most expensive — and most desirable — places to live in America. Despite offering enviable lifestyles to their residents, these cities have a significantly high cost of living. 

But these cities are not only the preserve of the rich and famous. Many residents not classed as uber-wealthy choose to make these locations their homes, and instead of relocating to more affordable destinations, come to the conclusion that living there is worth the trade-off. They value the unique lifestyles these cities offer above all else.

We surveyed more than 3,000 respondents who reside in some of America’s most expensive locations, asking them whether living there was worth the price tag. Below are the locations whose residents say living there is worth every penny, even if it brings financial struggles.

Interestingly, among the top 10 most desirable destinations to live in, five are in Florida, despite the high costs. Sunny skies and the outdoor lifestyle appeal to these Floridians. 

The top 10 are as follows: 

1. Palm Beach, Florida
2. Boca Raton, Florida
3. Ewa Beach, Hawaii
4. Naples, Florida
5. Kailua, Hawaii
6. Malibu, California
7. Sunny Isles Beach, Florida
8. Big Sky, Montana
9. Garden City, New York
10. Coral Gables, Florida

Aside from Florida, residents of two Hawaii locations — Ewa Beach and Kailua — say they are happiest, even if it means stacking up a string of unpaid bills. It seems the appeal of scenic views, amazing weather, and surf culture far outweigh any negative financial consequences of living on the Hawaiian islands. 

“This survey really shows that many people are willing to sacrifice extra spending money to live in special places. While these cities are expensive, committed residents clearly find the trade-offs sensible,” said Erica Sandberg, CardRates Consumer Finance Expert. “As someone who lives in San Francisco, where housing alone is a fortune, I understand what it takes to enjoy a great city even when costs are outrageous.” 

Residents of Malibu, California, also reported being happy living a blingy beach lifestyle, regardless of the cost. Rounding off the top 10 were two destinations removed from sandy beaches and the coastal lifestyle.

Big Sky, Montana, came in 8th place — the exquisite mountain setting and easy access to both summer and winter activities outweigh any cost that may be incurred to make a life here. 

Here is the rest of the top 150 cities, according to respondents:

Ranking	Suburb	State
11	Key Biscayne	Florida
12	Castle Rock	Colorado
13	Weston	Florida
14	Kapolei	Hawaii
15	Franklin	Tennessee
16	Jackson	Wyoming
17	Gold Canyon	Arizona
18	Lone Tree	Colorado
19	Brentwood	Tennessee
20	Mount Pleasant	South Carolina
21	Southlake	Texas
22	The Woodlands	Texas
23	Waxhaw	North Carolina
24	Great Falls	Virginia
25	Whitefish	Montana
26	Bellaire	Texas
27	Cape Elizabeth	Maine
28	Highland Park	Texas
29	Palos Verdes Estates	California
30	Parkland	Florida
31	Parker	Colorado
32	Bozeman	Montana
33	Palmer	Alaska
34	San Marino	California
35	Westport	Connecticut
36	Kiawah Island	South Carolina
37	Lafayette	California
38	Menlo Park	California
39	Stowe	Vermont
40	Isle of Palms	South Carolina
41	Park City	Utah
42	Alpine	New Jersey
43	Greenwich	Connecticut
44	Manhasset	New York
45	Westlake	Texas
46	Los Ranchos de Albuquerque	New Mexico
47	Teton Village	Wyoming
48	Prospect	Kentucky
49	Villanova	Pennsylvania
50	Fountain Hills	Arizona
51	Saratoga	California
52	Norwich	Vermont
53	University Park	Texas
54	Charlotte	Vermont
55	Chevy Chase	Maryland
56	Rye	New York
57	Summerlin	Nevada
58	Davidson	North Carolina
59	Lake Oswego	Oregon
60	East Greenwich	Rhode Island
61	Queen Creek	Arizona
62	Henderson	Nevada
63	West Linn	Oregon
64	Scarsdale	New York
65	Narragansett	Rhode Island
66	West Fargo	North Dakota
67	Morgantown	West Virginia
68	Newton	Massachusetts
69	Yarmouth	Maine
70	Cornelius	North Carolina
71	Newtown Square	Pennsylvania
72	Potomac	Maryland
73	Bethesda	Maryland
74	Larchmont	New York
75	Wilson	Wyoming
76	Portsmouth	New Hampshire
77	Germantown	Tennessee
78	Happy Valley	Oregon
79	Milton	Georgia
80	Brookline	Massachusetts
81	Corrales	New Mexico
82	Fargo	North Dakota
83	Hanover	New Hampshire
84	Bedford	New Hampshire
85	Bridgeport	West Virginia
86	Lakeview	Louisiana
87	Western Springs	Illinois
88	Garden District	Louisiana
89	Bloomfield Hills	Michigan
90	Cumberland Foreside	Maine
91	New Albany	Ohio
92	St. Matthews	Kentucky
93	Medina	Washington
94	Gladwyne	Pennsylvania
95	Mercer Island	Washington
96	Minnetonka	Minnesota
97	Short Hills	New Jersey
98	Mountain Brook	Alabama
99	Eagle	Idaho
100	Grosse Pointe Shores	Michigan
101	McLean	Virginia
102	Orinda	California
103	Townsend	Delaware
104	Vienna	Virginia
105	Weston	Massachusetts
106	Draper	Utah
107	Dunwoody	Georgia
108	Placitas	New Mexico
109	Old Metairie	Louisiana
110	Town and Country	Missouri
111	Dakota Dunes	South Dakota
112	Hurricane	West Virginia
113	River Hills	Wisconsin
114	Vestavia Hills	Alabama
115	Birmingham	Michigan
116	Clyde Hill	Washington
117	Elm Grove	Wisconsin
118	Pepper Pike	Ohio
119	Darien	Connecticut
120	Incline Village	Nevada
121	Johns Creek	Georgia
122	Madison	Mississippi
123	Barrington	Rhode Island
124	Mequon	Wisconsin
125	Montclair	New Jersey
126	Piedmont	Oklahoma
127	Harrisburg	South Dakota
128	Northbrook	Illinois
129	River Forest	Illinois
130	Zionsville	Indiana
131	Clinton	Mississippi
132	Anchorage	Kentucky
133	Carmel	Indiana
134	Indian Hill	Ohio
135	La Vista	Nebraska
136	West University Place	Texas
137	Brandon	South Dakota
138	Highland	Utah
139	Ladue	Missouri
140	Edina	Minnesota
141	Wayzata	Minnesota
142	Middletown	Delaware
143	Mission Hills	Kansas
144	Brandon	Mississippi
145	Clayton	Missouri
146	Hockessin	Delaware
147	Edmond	Oklahoma
148	Maumelle	Arkansas
149	Chelsea	Alabama
150	Nichols Hills	Oklahoma

Meanwhile, Garden City, New York, is home to the 9th happiest residents. A low crime rate, a beautiful Long Island location, larger property sizes, and a family-friendly community make it a sought-after destination despite the high cost of living. 

Interestingly, when choosing an affluent neighborhood as their place of residence, the majority (38%) of respondents said the quality of schools and a family-friendly environment provide them with the most satisfaction in life.

Another 34% cited the access to nature and outdoor activities, while 16% said their neighborhood’s proximity to high-paying job opportunities was the biggest advantage. The remaining 12% said living among a vibrant cultural or social scene is the biggest draw.

But if the high costs started piling up, what would motivate residents to stay, even if that meant incurring significant debt? 

Approximately 31% of survey respondents said their existing community connections and friendships drive their decision to stay in a high-cost area, while 22% said it is the school or educational opportunities for their children that they don’t mind paying for.

Another 20% of respondents said the proximity to family or important networks necessitates staying put, even if it means going into debt. Meanwhile, 18% said they are remaining put due to the unique lifestyle and amenities only offered in these sought-after places. 

Survey respondents were also asked what actions they would take if living in these expensive areas became unaffordable: 

• Cut back on non-essential spending: 39%
• Seek a higher-paying job: 38%
• Take on additional debt: 5%

When asked what the biggest drawbacks of living in these areas were, 60% of respondents said it was the high cost of housing, while 25% said the high cost of goods and services in their area was their most significant expense. The final 15% cited a lack of affordable amenities as one of the greatest bugbears of living in a luxury environment.

But just how many residents living in America’s most expensive areas are feeling the strain of their choice? Here’s how often our survey respondents living in affluent areas said they feel financially stressed:

• Regularly, managing well: 32%
• Occasionally: 31%
• Rarely, if ever: 21%
• Frequently and it impacts their quality of life: 16%

“There are ways to make the most of where you live without going into debt. For example, you may be able to get away without having a personal vehicle when you live in a dense urban environment. That can save you a lot of money,” Erica said. “And definitely try to take advantage of all the free and inexpensive activities that these types of locations usually offer.

Erica continued: “From parks to museums, cities with a concentration of high-net-worth individuals often have amazing amenities. That includes schools. If the public school system is better in those areas, it offsets the need to pay for private education or supplement with tutoring.” 

3,000 respondents were carefully chosen from a geographically representative online panel of double opt-in members. This selection was further tailored to meet the precise criteria required for each unique survey.

Throughout the survey, we designed questions to carefully screen and authenticate respondents, guaranteeing the alignment of the survey with the ideal participants.

To ensure the integrity of our data collection, we employed an array of data quality methods. Alongside conventional measures like digital fingerprinting, bot checks, geo-verification, and speeding detection, each response underwent a thorough review by a dedicated team member to ensure quality and contextual accuracy.

Our commitment extended to open-ended responses, subjecting them to scrutiny for gibberish answers and plagiarism detection.