Avon, IN vs. Carmel, IN: Cost of Living Comparison (2025)
Which city gives you more for your money – Avon or Carmel, Indiana? This article provides a detailed cost of living comparison to help families relocating, professionals choosing between job offers, or anyone comparing the real-life expenses of living in Avon vs Carmel in 2025. All income figures are expressed in gross monthly income (pre-tax).
1. Housing Costs
Housing is typically the biggest factor in cost of living. Here’s how Avon and Carmel stack up:
| Housing Type | Avon | Carmel |
|---|---|---|
| Median 2BR Apartment Rent | $1,250 | $1,550 |
| Median 3BR House Price | $325,000 | $450,000 |
🏆 Winner: Avon. Housing costs an estimated 20-30% less in Avon compared to Carmel across both renting and buying.
2. Utilities and Energy Costs
Utility bills are a major monthly expense. In Avon, expect to pay around $180/month for a 2BR apartment, with costs rising about 15% in the peak of summer. Carmel utility bills average closer to $210/month, with spikes up to $250 in summer due to higher AC usage.
🏆 Winner: Avon has lower utility costs by roughly $30/month on average.
3. Groceries and Daily Expenses
Grocery prices are fairly comparable between the two cities. Budget around $350-$450/month for a couple in either Avon or Carmel. Restaurant prices are about 10% higher in Carmel.
🏆 Winner: Avon edges out Carmel for daily expenses, but the difference is minor compared to housing.
4. Taxes and Fees
Avon’s property tax rate is 0.97%, while Carmel’s is 1.05%. For a $350,000 home, that’s a difference of $280/year. Both cities charge income taxes around 1.5-2% on top of state and federal taxes.
🏆 Winner: Avon has a slight edge, but taxes are similar between the two.
5. Cost Summary Table
| Expense | Avon | Carmel |
|---|---|---|
| Housing | $1,250 | $1,550 |
| Utilities | $180 | $210 |
| Groceries | $400 | $425 |
| Transportation | $300 | $325 |
| Taxes | 1.5% | 2% |
| Misc | $250 | $300 |
| Estimated Monthly Total | $2,380 | $2,810 |
6. Lifestyle Fit
While Avon offers lower living costs overall, Carmel provides more walkability, dining variety, and quicker access to downtown Indianapolis. Avon has more affordable space and slightly shorter commute times. Summers in Carmel average 5°F cooler than Avon.
7. FAQ
Q: Is Avon more affordable than Carmel?
A: Yes, Avon has lower costs for housing, utilities, and taxes, making it more affordable overall. See our full cost of living breakdown for Avon.
Q: Which city has lower rent?
A: Avon rents are around 20% lower than Carmel. A household moving from Carmel to Avon might save $300/month on rent alone.
Q: Where is it cheaper to buy a home?
A: Avon home prices are roughly 25-30% less than Carmel as of 2025. Use our guide to the best moving companies if relocating.
8. Conclusion
While both are desirable Indianapolis suburbs, Avon offers meaningfully lower living costs than Carmel across major categories like housing, utilities, and taxes. A typical family can expect to spend around $400 less per month in Avon.
Budget-conscious households, remote workers, and those who value space over walkability will likely prefer Avon. Carmel appeals more to professionals working in the city and those who prize dining and entertainment access.
Considering a move to Avon? Explore sample monthly budgets to estimate your expenses in detail.