Cost of Living in Larchwood, IA

With a cost of living index of 73, Larchwood, IA is one of the most affordable cities in the country. Living here is 27% cheaper than the national average and in line with the Iowa state average. Larchwood is a small community of 1,076 residents.

Housing costs are the biggest factor in Larchwood's cost of living. The median monthly rent is $854 (35% below the US median of $1,319), and the median home value sits at $189,700 (38% below the national median of $304,900). At current prices, the median home costs roughly 2.7x the median household income — well within traditional affordability guidelines.

The median household income in Larchwood is $69,327, which is 8% lower than the national median of $75,149. Residents spend roughly 15% of household income on rent. This is a comfortable ratio, well below the 30% threshold that financial experts recommend as a maximum. Lower incomes here are balanced by the significantly lower cost of living, stretching each dollar further.

Climate is another factor for anyone considering a move to Larchwood. The area sees an average annual temperature of 47.4°F, with summers averaging 72°F and winters around 21°F. Annual rainfall totals 27.8 inches spread over roughly 104 days. Cold winters mean higher heating bills, an important cost-of-living consideration.

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.