Ann Arbor, MI vs Dearborn Heights, MI

The cost of living difference between Ann Arbor, MI and Dearborn Heights, MI is dramatic. Dearborn Heights is 34.7% cheaper than Ann Arbor, a gap that translates to thousands of dollars per year in household expenses. Ann Arbor has a cost index of 117 while Dearborn Heights sits at 87, making this one of the more striking comparisons on our site. Relocating between these cities would require a serious reassessment of budget and lifestyle expectations.

On the housing front, median rent in Ann Arbor is $1,552/month compared to $1,260/month in Dearborn Heights — a 23% difference. Home values follow the same pattern: Dearborn Heights is more affordable at $174,900 median vs $435,100.

Median household income in Ann Arbor is $81,089 compared to $61,035 in Dearborn Heights (+32.9%). The higher salaries in Ann Arbor partially offset the cost difference, but don't fully close the gap. Looking at affordability, residents of Ann Arbor spend roughly 23% of their income on rent, less than the 24.8% in Dearborn Heights.