Arlington Heights is considered moderately expensive in 2025, with average rent for a 2-bedroom apartment at $2,100 and higher property tax rates than the national average.
Housing Costs in Arlington Heights
Housing is the biggest expense for most Arlington Heights residents. In 2025, typical housing options include:
- 2-bedroom apartments renting for $1,900 to $2,300 per month
- 3-bedroom single-family homes selling for $450,000 to $650,000
- Townhomes and condos starting around $300,000
Costs vary by neighborhood, with central and south Arlington Heights commanding higher prices. Newer construction homes in planned communities often have HOA fees of $200-400 per month.
For a family purchasing a $550,000 home with 20% down, the monthly mortgage payment would be around $2,400 (30-year fixed at 4.5% APR). Property taxes add another $900-1,100 per month.
Utilities and Energy Bills
Basic utilities for a 1,000 sq ft apartment in Arlington Heights cost around $180 per month:
| Electricity | $70 |
| Gas | $40 |
| Water/Sewer | $50 |
| Trash | $20 |
Expect 20-30% higher electric bills in summer due to air conditioning. Gas heat raises winter energy costs by a similar amount. For a larger home, budget $300+ per month for utilities.
Groceries and Food
Groceries in Arlington Heights cost about 5% more than the national average. Expect to spend around $400 per month on food per person, or $1,000+ for a family of four.
A gallon of milk is $4.50, a dozen eggs $3, and a pound of chicken breast $5.50. Dining out costs $15-20 per person for a basic meal, or over $50 for a nicer restaurant. Grabbing a beer in a local pub runs $6-7.
Taxes and Fees
Illinois has a flat income tax rate of 4.95%. The base sales tax rate in Arlington Heights is 10%, which includes state, county, and local taxes.
Arlington Heights property taxes are around 2.2% of assessed value annually, among the highest in the nation. For a $500,000 home, that’s $11,000 per year or $917 per month.
Vehicle registration fees in Illinois are $151 per year. Drivers in Arlington Heights spend about $2,000 per year on gas, insurance, and maintenance per car.
Monthly Budget Summary
| Expense | Single Person | Couple | Family of 4 |
|---|---|---|---|
| Housing (rent for 2BR) | $2,100 | $2,100 | $2,700 |
| Utilities | $180 | $250 | $350 |
| Groceries | $400 | $800 | $1,200 |
| Transportation | $200 | $350 | $500 |
| Healthcare | $300 | $600 | $1,200 |
| Other Necessities | $300 | $500 | $800 |
| Monthly Total | $3,480 | $4,600 | $6,750 |
| Gross Income Needed | $4,200/mo | $5,500/mo | $8,100/mo |
To live comfortably, a single person needs a gross income around $50K ($4,200/month), a couple $66K ($5,500/month), and a family of four $97K ($8,100/month). Note these are pre-tax income estimates.
Lifestyle Considerations
Living in central Arlington Heights means walkable neighborhoods and shorter commutes, but smaller, older homes at higher prices. Further out, you’ll find more space for your money, but will likely depend on a car.
Access to parks, good schools, and Metra rail service make Arlington Heights appealing for families. However, the overall cost of living is 30-40% higher than the national average.
The top 3 costs that surprise newcomers are:
- High property taxes (over $900/month on a typical home)
- Hefty state income taxes on top of federal taxes
- Expensive housing, especially compared to other Midwest suburbs
While pricey, many find the quality of life in Arlington Heights to be worth the cost. Budgeting carefully and choosing an affordable moving company can help manage expenses.
Frequently Asked Questions
What salary do you need to live in Arlington Heights?
To live comfortably, most single people need to earn at least $50,000 per year ($4,200/month before taxes). A family of four requires around $97,000 per year ($8,100/month).
Why are property taxes so high in Arlington Heights?
Arlington Heights property taxes fund local schools, parks, libraries and city services. Illinois has the 2nd highest property taxes in the U.S. to make up for lower sales and income tax revenues.
Is it more affordable to rent or buy in Arlington Heights?
Renting is often more affordable in the short-term, with 2-bedroom apartments around $2,100 compared to $2,400+ for a typical mortgage payment. However, buying can be cheaper long-term if you stay over 5 years.
How much are utilities in Arlington Heights?
For an average 2-bedroom apartment, expect to pay around $180 per month ($2,160 per year) for electricity, gas, water, and trash service. Larger homes cost $300+ per month for utilities.
Are groceries expensive in Arlington Heights?
Grocery prices in Arlington Heights are about 5% higher than the national average. Budget around $400 per person for food each month, or over $1,000 for a family of four.
What are the most expensive neighborhoods in Arlington Heights?
Central and south Arlington Heights tend to have the highest housing costs, with homes often over $600,000. Neighborhoods further from downtown are relatively more affordable.
How do living costs compare to nearby cities?
Arlington Heights’ cost of living is similar to other desirable Chicago suburbs like Palatine and Buffalo Grove. It’s more affordable than Evanston or Oak Park, but pricier than Elgin or Schaumburg.