Everyone wants a home that mixes affordability with comfort and Alaska does this very well. Families love the Last Frontier’s beaches, midlands, and mountains as tourists before moving here and calling it home.
But before you decide to relocate, you have to do some research into the exact cost of living around the state — and that’s how we’re going to help you.
These are the places in Alaska that cost a pretty penny — the most expensive cities in the state.
After we saved up for months and could finally afford it, we landed on this list of the ten most expensive cities in Alaska for 2018:
- Fairbanks (Photos | Homes For Sale)
- Ketchikan (Photos | Homes For Sale)
- Barrow (Photos | Homes For Sale)
- Kotzebue (Photos | Homes For Sale)
- Bethel (Photos | Homes For Sale)
- Dillingham (Photos | Homes For Sale)
- Craig (Photos | Homes For Sale)
- Kodiak (Photos | Homes For Sale)
- Anchorage (Photos | Homes For Sale)
- Homer (Photos | Homes For Sale)
So hopefully Hooper Bay (the cheapest place to live in Alaska) can show these guys how to live on a budget in the coming years. Read on for how these places had costs rise faster than inflation.
Population: 31,656 Services: 124
Health Care: 148
More on Fairbanks: Homes For Sale | Data
Fairbanks is a home rule city and the borough seat of the Fairbanks North Star Borough in the U.S. state of Alaska.
Population: 8,097 Services: 112
Health Care: 149
More on Ketchikan: Homes For Sale | Data
Ketchikan is a city in the Ketchikan Gateway Borough, Alaska, United States, the southeasternmost city in Alaska. With a population at the 2010 census of 8,050, it is the fifth-most populous city in the state, and tenth-most populous community when census-designated places are included.
Population: 6,140 Services: 117
Health Care: 137
More on Bethel: Homes For Sale | Data
Bethel is a city located near the west coast of the U.S. state of Alaska, approximately 400 miles west of Anchorage, in the Bethel Census Area. Accessible only by air and river, Bethel is the main port on the Kuskokwim River and is an administrative and transportation hub for the 56 villages in the Yukon-Kuskokwim Delta.
Population: 6,196 Services: 117
Health Care: 137
More on Kodiak: Homes For Sale | Data
Kodiak is one of seven communities and the main city on Kodiak Island, Kodiak Island Borough, in the U.S. state of Alaska. All commercial transportation between the entire island and the outside world goes through this city either via ferryboat or airline. The population was 6,130 as of the 2010 census. 2014 estimates put the population at 6,304.
Population: 291,470 Services: 121
Health Care: 138
More on Anchorage: Homes For Sale | Data
Anchorage is a unified home rule municipality in the U.S. state of Alaska. With an estimated 298,192 residents in 2016, it is Alaska’s most populous city and contains more than 40 percent of the state’s total population; among the 50 states, only New York has a higher percentage of residents who live in its most populous city. All together, the Anchorage metropolitan area, which combines Anchorage with the neighboring Matanuska-Susitna Borough, had a population of 401,635 in 2016, which accounts for more than half of the state’s population.
Population: 5,050 Services: 121
Health Care: 138
More on Homer: Homes For Sale | Data
Homer is a city located in Kenai Peninsula Borough in the U.S. state of Alaska. It is two hundred and eighteen miles southwest of Anchorage. According to the 2010 Census, the population is 5,003. Long known as The “Halibut Fishing Capital of the World.” Homer is also nicknamed “the end of the road,” and more recently, “the cosmic hamlet by the sea.”
How We Determined The Most Expensive Places To Live In The Last Frontier For 2018
There are basic necessities that you have to buy no matter where in the country you live. Those things include:
- Health Insurance
You can then compare the cost of these things in each of the places in Alaska to figure out which is the most expensive.
What you are left with is a “Cost of Living Index” that normalizes to 100 for an average place in the United States.
So we used that cost of living index in order to rank all of the 14 places in Alaska that have more than 5,000 people.
And just so you can better understand how the cost of living index works, 100 is the average cost of a place in the United States. A score of 90 means that the place cost 10% less than average.
San Francisco has a score of 243 meaning it’s almost 2.5 times as expensive as the average place in the country.
Taking A Chunk Out Of Your Paycheck
Well there you have it, the places in Alaska that have the highest cost of living, with Fairbanks ranking as the most expensive city in the Last Frontier.
If you’re curious, here are the least expensive cities in Alaska:
- Hooper Bay
For more Alaska reading, check out:
- 10 Most Dangerous Cities In Alaska
- These Are The 10 Richest Cities In Alaska
- 10 Worst Places To Live In Alaska
Detailed List Of The Most Expensive Cities In Alaska