Living in One of America's Most Expensive Cities: A $6,100 Monthly Reality Check

According to a recent U.S. News & World Report analysis of 859 municipalities, Newport Beach, California has earned the distinction of being the most expensive city in the United States for 2025-2026. The ranking considered “median gross rent and annual housing costs for mortgage-paying homeowners” to determine the most expensive places where Americans are currently settling. But what does this premium actually look like in real dollars? One resident’s experience offers a revealing breakdown.

How Newport Beach Became Ranked Among the Most Expensive Places in the U.S.

The U.S. News ranking evaluated hundreds of communities across America to identify which locations command the highest living expenses. Newport Beach topped the list, solidifying its position as America’s most expensive cities for affluent residents and remote workers relocating for employment. The analysis reveals significant gaps between coastal California communities and other regions—for context, the average one-bedroom apartment in Detroit rents for just $1,096 monthly, less than one-third of what renters pay in Newport Beach.

A Closer Look: What $6,100 Gets You in One of the Most Expensive Cities in America

Jennifer Barnes, a 51-year-old vice president of marketing, relocated to Newport Beach last year for a job opportunity. Her total monthly spending comes to approximately $6,100, comprised of:

• One-bedroom apartment: $3,600
• Utilities: $150
• Car insurance (2022 Jeep Wrangler 4xe Hybrid): $300
• Gasoline: $200
• Cellphone service: $100
• Streaming subscriptions: $50
• Groceries: $400
• Pet care: $1,000
• Personal grooming: $300

Her rent represents 59% of her total monthly budget—a reality common in expensive metropolitan areas nationwide. To contextualize the cost, Barnes previously rented a smaller one-bedroom in Hermosa Beach, California for $3,000 monthly without amenities. For an additional $600 per month in her current location, she gained access to premium facilities: an upscale fitness center, dual pools, multiple hot tubs, and a business center. She particularly values her newly renovated kitchen and the strong community atmosphere where neighbors gather for weekend barbecues.

The Trade-Offs of Living in One of America’s Most Expensive Cities

Barnes, originally from New York City and having spent 15 years across various California coastal communities, maintains a pragmatic perspective on her Newport Beach residence. “Like anywhere, it has its pros and cons,” she reflected. She appreciates the waterfront proximity and outdoor lifestyle but finds the community somewhat culturally restrictive. “I like it. It’s expensive because it’s nice. But it’s a bubble,” she noted, suggesting that while the area offers beauty and affluence, it lacks the cultural richness and diversity she experienced in New York.

The difference is particularly striking when comparing entertainment and social opportunities. New York City, despite comparable rental costs, offered substantially more varied cultural programming and nightlife. Newport Beach, by contrast, skews toward exclusive social scenes. “It’s very bougie and very scene-y,” Barnes said, observing that many residents frequent upscale dining establishments and social venues regularly.

Why Her Spending Remains Below Neighborhood Averages

Despite her $6,100 monthly expenses, Barnes acknowledges that many of her neighbors spend considerably more. She attributes this partly to lifestyle choices. As someone who works remotely three days weekly and dines out infrequently, she deliberately minimizes discretionary spending. A self-described homebody, she recognizes that fuller participation in Newport Beach’s active social scene would substantially increase her living costs.

Her remote work arrangement particularly helps manage expenses in one of the most expensive cities in America, allowing her to maintain financial equilibrium while enjoying the benefits of coastal living. For residents without such flexibility, or those immersed in the local social circuit, monthly costs can easily exceed hers by thousands of dollars.

The verdict? Barnes remains satisfied with her relocation, viewing her housing upgrade and amenities as worthwhile, particularly compared to other expensive California coastal towns she’s previously inhabited.

Editor’s Note: To preserve anonymity, “Jennifer Barnes” is a pseudonym.