Cost of Living in Riverwoods, IL

With a cost of living index of 197, Riverwoods, IL is one of the most expensive cities in the United States. Living here is 97% more expensive than the national average and 118% above the Illinois state average of 80. Riverwoods is a small community of 3,988 residents.

Housing costs are the biggest factor in Riverwoods's cost of living. The median monthly rent is $3,175 (141% above the US median of $1,319), and the median home value sits at $796,100 (161% above the national median of $304,900). At current prices, the median home costs roughly 3.3x the median household income — a moderately affordable ratio by today's standards.

The median household income in Riverwoods is $243,036, which is 223% higher than the national median of $75,149. Residents spend roughly 16% of household income on rent. This is a comfortable ratio, well below the 30% threshold that financial experts recommend as a maximum. While incomes are above average, they more than offset the higher cost of living.

Climate is another factor for anyone considering a move to Riverwoods. The area sees an average annual temperature of 50.8°F, with summers averaging 73°F and winters around 28°F. Annual rainfall totals 32.3 inches spread over roughly 112 days. Cold winters mean higher heating bills, an important cost-of-living consideration.

Everyday prices in the Chicago-Naperville-Elgin, IL-IN (Metropolitan Statistical Area) metro area tend to run above the national average. Out of 6 common grocery and utility items tracked by the Bureau of Labor Statistics, 5 are priced higher than the US average. These real-world prices — from groceries to electricity — add up and should be factored into any cost of living comparison.

Data sources: US Census Bureau (ACS 2023), Zillow Home Values, HUD Fair Market Rents, BEA Regional Price Parities, BLS Average Prices, and NOAA Climate Normals. Updated monthly.