Living by the coast is a dream for many, offering a lifestyle filled with sandy beaches, surf culture, and the soothing sounds of the ocean. Huntington Beach, often dubbed “Surf City USA,” is one of California’s prime coastal destinations. However, when considering a move to such a picturesque locale, understanding the cost of living is crucial, especially in comparison to other coastal cities. Here’s an in-depth look at how Huntington Beach stacks up against other notable coastal cities in terms of living expenses.
Huntington Beach: An Overview
Huntington Beach, located in Orange County, California, is known for its extensive beaches, warm climate, and vibrant community. But this paradise comes with a price:
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Housing: The cost of housing in Huntington Beach is significantly higher than the national average. According to Daly Movers Inc , the median home price is around $1,265,000, with average rent for a one-bedroom apartment around $2,371 per month. This makes it one of the priciest places to live in terms of real estate.
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Utilities: Typical monthly utilities in Huntington Beach are about $166.85, which is relatively consistent with other California coastal cities.
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Other Living Expenses: From groceries to entertainment, Huntington Beach’s cost for daily living is elevated due to its location and demographic. For instance, a basic dinner at a restaurant might cost around $20, and a cappuccino could set you back $4.88.
Comparative Analysis with Other Coastal Cities
1. Santa Monica, CA:
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Housing: Santa Monica is even pricier, with the average home price at $1,605,000 and average rent at $4,017 for a one-bedroom apartment, making it 91.4% more expensive than Huntington Beach in terms of the Cost of Living Index.
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Other Costs: Despite the higher costs, salaries in Santa Monica are slightly higher, with an average of $88,000 compared to Huntington Beach’s $81,000. However, the price of goods and services remains steep.
2. Newport Beach, CA:
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Housing: Newport Beach, another Orange County gem, has a median home price around $2,600,000, significantly higher than Huntington Beach. Renting isn’t much cheaper, with one-bedrooms averaging $2,500.
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Lifestyle: Newport is known for its luxury lifestyle, which reflects in the cost of dining, entertainment, and even basic services like haircuts or gym memberships.
3. San Diego, CA:
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Housing: San Diego offers a bit of relief compared to Huntington Beach, with median home prices at about $849,000, but the rental market is still steep, averaging $2,100 for a one-bedroom.
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Cost of Living: While not as expensive as Huntington Beach for housing, San Diego’s overall cost of living remains high, particularly in areas closer to the beach like La Jolla or Pacific Beach.
4. Long Beach, CA:
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Housing: Long Beach provides a more affordable option within the coastal context, with a median home price of around $750,000 and one-bedroom apartments renting for about $1,900.
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Comparison: It’s still more expensive than many inland cities but offers a more affordable beach lifestyle compared to Huntington Beach, with a more diverse range of neighborhoods from upscale to more budget-friendly.
5. Santa Cruz, CA:
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Housing: Santa Cruz, known for its bohemian vibe and surfing, has a median home price of about $1,186,000, quite close to Huntington Beach. Rent is slightly lower, averaging $2,200 for a one-bedroom.
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Living Expenses: Like Huntington Beach, Santa Cruz enjoys a premium on lifestyle costs, from dining to entertainment, reflecting its status as a coveted coastal retreat.
Factors Influencing Costs
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Location Premium: Proximity to the beach inherently increases property values and living expenses due to demand.
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Economic Factors: Cities with higher median incomes can support higher costs of living, but this doesn’t always translate to affordability for everyone.
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Tourism: Huntington Beach and similar cities benefit from tourism, which can inflate local prices.
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Regulation and Taxes: California’s strict environmental and housing regulations can drive up construction and maintenance costs.
Cost Saving Strategies in Coastal Living
If you’re eyeing a move to Huntington Beach or any similar coastal city, here are some strategies to manage the high costs:
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Consider Adjacent Areas: Properties just a few blocks from the beach can be significantly cheaper. Or look into Huntington Beach condos.
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Roommates or Rent Out Space: Sharing housing costs or renting out a room can make living in an expensive area more feasible.
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Public Transportation: Utilize public transport to save on car-related expenses, although Huntington Beach is more car-centric.
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Lifestyle Adjustments: Opt for local produce markets, engage in free or low-cost beach activities, and look for community events.
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Negotiate Everything: From housing leases to utility bills, there’s often room for negotiation, especially if you commit long-term.
Recent Housing Trends In Huntington Beach
Current Market Overview
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Median Home Prices: As of late 2024, the median listing home price in Huntington Beach was around $1.4 million, with a year-over-year increase of approximately 11.7%. This indicates a robust appreciation in property values, consistent with the broader trends in Orange County’s coastal cities.
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Market Competitiveness: The housing market in Huntington Beach is described as somewhat competitive, with a score of 63 out of 100 on Redfin’s competitiveness scale. Homes typically receive multiple offers and sell relatively quickly, averaging around 47 days on the market.
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Sales Activity: Despite high prices, sales volume has been strong, with 111 homes sold in November 2024, an increase from the previous year. This suggests sustained demand, particularly from buyers valuing the beach lifestyle and community amenities.
Housing Types and Neighborhoods
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Diversity in Housing: Huntington Beach offers a mix of housing types, including single-family homes, townhouses, and condominiums. The most common are single-family detached homes, particularly in neighborhoods like Bolsa Chica-Heil, Goldenwest, and Huntington Harbour. Downtown Huntington Beach is known for its beachfront condos and modern apartments.
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Popular Neighborhoods: Neighborhoods like Huntington Harbour and Seacliff are particularly sought after for their waterfront properties and proximity to amenities like the Bolsa Chica Ecological Reserve and Huntington State Beach. These areas offer luxury estates and custom homes but at a premium price point.
Affordability and Accessibility
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Affordable Housing Initiatives: Huntington Beach has recently come back into compliance with state housing laws, which includes zoning for more affordable housing. This is highlighted by the city’s provision of a $3 million loan for a 100% affordable housing development, aimed at increasing the availability of lower-cost homes.
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Section 8 Housing: There are 11 affordable housing complexes in Huntington Beach, with a total of 377 Section 8 apartments available, indicating some efforts towards housing diversity.
Market Forces and Future Projections
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Economic Indicators: With national mortgage rates hitting an 8-month high above 7% in early 2025, the local market might see a slight cooling due to affordability concerns. However, Huntington Beach’s appeal could mitigate some of these effects due to its lifestyle offerings.
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Long-Term Forecast: Analysts predict a long-term increase in property values in Huntington Beach, with the median home price expected to reach $3,086,961 by 2029, suggesting a steady appreciation trend.
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Housing Inventory: There’s been a noted decrease in housing inventory by 13.0% in December 2024 compared to the previous month, which could keep prices elevated due to supply constraints.
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Development Opportunities: The city has seen proposals for new developments, like the one at the former Magnolia Tank Farm, which plans for 250 homes, a hotel, and park space, indicating ongoing growth in housing options despite space limitations.
Challenges and Considerations
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Natural Disasters: Being near the coast, Huntington Beach faces challenges like potential flooding from sea-level rise, which could affect future property values and insurance costs. Recent developments are considering these risks in their planning.
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Regulatory Environment: The city’s history of legal battles with state housing laws reflects a tension between local control and state mandates for housing growth, which could impact development speed and type of housing available.
Conclusion
Huntington Beach, while offering a quintessential coastal lifestyle, comes at a premium cost, but it’s not alone in this aspect among California’s coastal cities. Each city has its nuances, with Huntington Beach potentially offering a more surf-centric, laid-back vibe compared to the luxury of Newport Beach or the urban chic of Santa Monica. When deciding where to live, consider not only the direct costs but also the lifestyle benefits and opportunities each city provides. Balancing these factors will help you find the coastal city that not only fits your budget but also enriches your life with its unique offerings.
Remember, the cost of living is just one part of the equation; the quality of life, community, and personal preferences play significant roles in making your coastal dream a reality.
