Ann Arbor, MI vs Dearborn, MI

The cost of living difference between Ann Arbor, MI and Dearborn, MI is dramatic. Dearborn is 30.7% 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 sits at 90, 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 $1,264/month in Dearborn — a 23% difference. Home values follow the same pattern: Dearborn is more affordable at $205,900 median vs $435,100.

Median household income in Ann Arbor is $81,089 compared to $65,192 in Dearborn (+24.4%). 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 23.3% in Dearborn.