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Cost of Living: Cambridge, MA vs Chicago, IL

Wondering how far your dollar stretches in Cambridge compared to Chicago? Below we break down housing costs, rent, taxes, income, and quality of life using 2026 data so you can make an informed relocation or remote-work decision. Every number is computed from Census, BLS, and Zillow data specific to these two metro areas.

TL;DR

Cambridge cost-of-living index is 178 vs 114 for Chicago (US = 100). Median home: $925,000 vs $315,000. Median rent: $3,100/mo vs $2,288/mo.

Source: Census ACS · Zillow ZHVI/ZORI · BEA RPP, 2026

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Chicago is 36.0% cheaper than Cambridge
COL Index: Cambridge 178 vs Chicago 114 (national avg = 100)
Written by Jere Salmisto, Founder & Quantitative Systems Builder, CalcFi·Reviewed by CalcFi Editorial·Last reviewed 2026-04-19

Cambridge vs Chicago — At a Glance

CambridgeMetricChicagoDifference
178Cost of Living Index114-36.0%
$925,000Median Home Price$315,000-65.9%
$3,100Median Monthly Rent$2,288-26.2%
$108,500Median Household Income$70,100-35.4%
1.1%Property Tax Rate2.1%+90.9%
3.2%Unemployment Rate4.6%+43.7%
26 minAverage Commute31 min+19.2%
31.2Median Age36.7+17.6%
118,000Metro Population9,560,000+8001.7%

Data sourced from Census Bureau, BLS, Zillow, and ApartmentAdvisor (2024-2025). COL Index: 100 = national average.

Housing Comparison: Cambridge vs Chicago

Monthly mortgage assumes 6.5% interest, 30-year fixed, 20.0%down payment. PITI includes principal, interest, property tax, and homeowner's insurance.

Cambridge

Median Home Price$925,000
Down Payment (20.0%)$185,000
Loan Amount$740,000
Principal & Interest$4,677/mo
Property Tax$848/mo
Insurance$270/mo
Monthly PITI$5,795/mo

Chicago

Median Home Price$315,000
Down Payment (20.0%)$63,000
Loan Amount$252,000
Principal & Interest$1,593/mo
Property Tax$551/mo
Insurance$92/mo
Monthly PITI$2,236/mo

Rent & Affordability Ratios

Median Monthly Rent$3,100 vs $2,288 (-$812/mo)
Annual Rent Difference$9,744/yr more in Cambridge
Home Price-to-Income Ratio8.5x (Cambridge) vs 4.5x (Chicago)
Years to Save 20% Down (15% savings rate)11.4 yrs (Cambridge) vs 6.0 yrs (Chicago)

Buying a home in Cambridge costs $5,795/month (PITI) compared to $2,236/month in Chicago — a difference of $3,559/month or $42,708/year. The price-to-income ratio is 8.5x in Cambridge versus 4.5x in Chicago, suggesting Chicago is relatively more affordable for homebuyers relative to local incomes. At a 15% savings rate, it takes 11.4 years to save a down payment in Cambridge compared to 6.0 years in Chicago.

Tax Comparison: Cambridge vs Chicago

Estimated on each city's median household income, single filer, standard deduction, 2025 rates.

Tax CategoryCambridgeChicago
Gross Income$108,500$70,100
State Income Tax$5,205$3,329
Federal Income Tax$15,319$6,871
FICA (SS + Medicare)$8,300$5,362
Property Tax (on median home)$10,175/yr$6,615/yr
State Sales Tax Rate6.3%6.3%
Total Tax Burden$28,824 (26.6%)$15,562 (22.2%)
Take-Home Pay$79,676$54,538

On median household income, total taxes (federal + state + FICA) come to $28,824 in Cambridge (26.6% effective) versus $15,562 in Chicago (22.2% effective). After taxes, take-home pay is $79,676 in Cambridge and $54,538 in Chicago. Property taxes add $10,175/year on the median Cambridge home versus $6,615/year in Chicago.

Salary Equivalence: What Your Income Is Worth

A $108,500 salary in Cambridge equals
$69,489
in Chicago
A $70,100 salary in Chicago equals
$109,454
in Cambridge

These figures adjust for cost of living using the formula: adjusted = salary × (COL_destination / COL_origin). If you earn $108,500 in Cambridge (COL 178) and relocate to Chicago (COL 114), you would need $69,489 to maintain the same purchasing power. This means you can take a pay cut of $39,011 and still maintain your lifestyle in Chicago.

Quality of Life: Cambridge vs Chicago

Average Commute
26 min
Cambridge
31 min
Chicago
5 min shorter in Cambridge
Unemployment Rate
3.2%
Cambridge
4.6%
Chicago
Cambridge lower
Metro Population
0.1M
Cambridge
9.6M
Chicago
Chicago is 81.0x larger

Beyond costs, quality of life matters. The average commute in Cambridge is 26 minutes versus 31 minutes in Chicago, a difference of 5 minutes each way. Cambridge's lower unemployment rate of 3.2% versus 4.6% suggests a stronger job market. Chicago skews slightly older with a median age of 36.7 vs 31.2 in Cambridge.

Other Cost of Living Comparisons

Cambridge vs New YorkCOL 178 vs 187Cambridge vs Los AngelesCOL 178 vs 173Cambridge vs DallasCOL 178 vs 105Chicago vs New YorkCOL 114 vs 187Chicago vs Los AngelesCOL 114 vs 173Chicago vs DallasCOL 114 vs 105

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Frequently Asked Questions

Is Cambridge or Chicago more expensive?

Cambridge is 36.0% more expensive than Chicago overall. Cambridge has a cost of living index of 178 compared to 114 for Chicago (national average = 100). The biggest difference is housing: the median home costs $925,000 in Cambridge vs $315,000 in Chicago.

How much more does housing cost in Cambridge vs Chicago?

The median home price in Cambridge is $925,000, which is $610,000 more than Chicago's median of $315,000. Monthly rent follows a similar pattern: $3,100/month in Cambridge vs $2,288/month in Chicago, a difference of $812/month or $9,744/year.

What salary do I need in Chicago to match my Cambridge income?

To maintain the same standard of living, a $108,500 salary in Cambridge is equivalent to $69,489 in Chicago. This is based on the cost of living index ratio: Cambridge's COL index of 178 vs Chicago's 114. Conversely, $70,100 in Chicago equals $109,454 in Cambridge.

Which city has lower taxes, Cambridge or Chicago?

On a median household income, the combined federal, state, and FICA tax burden is $28,824 (26.6% effective rate) in Cambridge vs $15,562 (22.2% effective rate) in Chicago. Property taxes on the median home are $10,175/year in Cambridge (1.1% rate) vs $6,615/year in Chicago (2.1% rate). Sales tax rates are 6.3% in Massachusetts and 6.3% in Illinois.

What is the median household income in Cambridge and Chicago?

Cambridge median household income: $108,500/yr. Chicago median household income: $70,100/yr (Census ACS).

How does rent compare in Cambridge vs Chicago?

Median monthly rent: $3,100 in Cambridge vs $2,288 in Chicago. Annualized that is $37,200 vs $27,456.

Which city is better for remote workers, Cambridge or Chicago?

Chicago offers a lower cost of living (index 114 vs 178), which lets remote-workers keeping a coastal salary stretch further. Cambridge typically wins on amenities and labor-market depth.

Where does the data on this comparison come from?

Cambridge and Chicago numbers are pulled from Zillow ZHVI/ZORI (home values, rent), the U.S. Census Bureau ACS (income, demographics), and BEA RPP (cost-of-living index). Each value is timestamped on the page.

How often is this Cambridge vs Chicago comparison updated?

Source feeds (Zillow, Freddie Mac PMMS, Census ACS, BEA RPP) are refreshed on their native cadence. Page caches revalidate every 24 hours via Next.js ISR.

Does this comparison replace tax or financial advice?

No. The Cambridge vs Chicago cost-of-living page is educational reference using public data and standard formulas. It is not personalized tax, legal, or investment advice. Consult a licensed professional for material decisions.

Explore More

All City ComparisonsCambridge COL CalculatorChicago COL CalculatorSalary GuidesMortgage Affordability CalculatorRent vs Buy Calculator

Sources & Citations

  1. Zillow Research — ZHVI (home values) & ZORI (observed rent index) — zillow.com/research/data
  2. U.S. Census Bureau — American Community Survey (ACS) 5-year estimates — census.gov/acs
  3. Bureau of Economic Analysis — Regional Price Parities by state and MSA — bea.gov/rpp
  4. Tax Foundation — effective state and local tax rates — taxfoundation.org
  5. Freddie Mac PMMS — weekly national average mortgage rates — freddiemac.com/pmms
  6. Internal Revenue Service — federal income tax brackets and standard deduction — irs.gov
  7. U.S. Bureau of Labor Statistics — unemployment and wage statistics — bls.gov
Methodology & Assumptions

Home prices use Zillow Home Value Index (ZHVI)[1]; rents use Zillow Observed Rent Index (ZORI)[1]. Median household income comes from the Census ACS 5-year estimates[2].

COL indices use the BEA Regional Price Parity methodology[3], normalized so 100 = national average.

Property tax rates are effective rates from the Tax Foundation[4], expressed as % of owner-occupied home value. Mortgage estimates assume 6.5% fixed rate[5], 30-year term, 20.0% down, $1,800/yr homeowners insurance.

Federal tax calculations[6] assume single filer, standard deduction. State tax uses the top marginal rate times taxable income after the state standard deduction. FICA = 6.2% Social Security (up to wage base) + 1.45% Medicare.

Salary equivalence uses adjusted = salary × (COL_destination / COL_origin). This captures cost-of-living shift but not state income tax differences.

Unemployment figures are the most recent monthly MSA-level readings from the BLS LAUS series[7].

Last reviewed is computed from the maximum retrievedAt across every source this page consumes.

City data from Census Bureau[2], BLS[7], and Zillow[1] (2024-2025). Tax calculations use 2025 IRS rates[6], single filer, standard deduction. Mortgage estimates assume 6.5% PMMS rate[5], 30-year term, 20.0% down. COL Index: 100 = national average[3]. Last reviewed 2026-04-19.