Living in Novi vs Farmington Hills: What Changes (2026)

A quiet suburban street in Novi, Michigan lined with red-brick homes and mature trees. A jogger runs on the sidewalk past trash bins at the curb. — Suburban neighborhood street in Novi with brick homes and sidewalks.

Novi, MI vs. Farmington Hills, MI: Cost of Living Comparison (2025)

For those considering a move to the Detroit suburbs, Novi and Farmington Hills often top the list. Both cities boast excellent schools, safe neighborhoods, and easy access to major highways. But when it comes to affordability in 2025, which city offers the best value?

As the cost of living continues to rise across Metro Detroit, many families and young professionals are carefully weighing their options. While Novi and Farmington Hills share many similarities, subtle differences in housing costs, taxes, and lifestyle amenities can have a significant impact on your monthly budget.

In this article, we’ll take a closer look at the key cost of living factors in Novi and Farmington Hills. By comparing housing, utilities, groceries, and taxes, you’ll be able to determine which city best fits your lifestyle and financial goals for 2025 and beyond.

Housing Costs: Novi vs. Farmington Hills

Housing is typically the largest expense for most households, and the Novi vs. Farmington Hills debate is no exception. In 2025, the median home price in Novi is expected to hover around $450,000, while Farmington Hills comes in slightly lower at $400,000.

For renters, a typical two-bedroom apartment in Novi runs about $1,800 per month, compared to $1,600 in Farmington Hills. However, it’s important to note that Novi tends to have a higher percentage of newer construction, which can mean lower maintenance costs and energy bills.

Here’s a quick breakdown of common housing costs in Novi and Farmington Hills:

Housing Type	Novi	Farmington Hills
Median Home Price	$450,000	$400,000
2BR Apartment Rent	$1,800	$1,600
3BR House Rent	$2,200	$2,000

For families looking to maximize space on a budget, Farmington Hills may offer a slight edge. However, young professionals drawn to Novi’s newer housing stock and amenities may find the premium worthwhile. Ultimately, the right choice depends on your specific housing needs and long-term financial goals.

Winner: Farmington Hills offers lower overall housing costs, but Novi’s newer homes can mean savings on maintenance and utilities.

Keeping the Lights On: Utility Costs

While utility costs are often an afterthought compared to housing, they can add up quickly. In Novi and Farmington Hills, expect to pay around $150-$200 per month for electricity, gas, water, and sewer on a typical 3BR home.

However, seasonal swings can impact your bill. Harsh Michigan winters often mean higher heating costs, while hot summers can strain your AC. Older homes in Farmington Hills may be less energy-efficient, leading to higher bills.

Both cities offer energy-saving programs and rebates, but Novi’s newer construction may give it a slight advantage. Upgraded insulation, windows, and HVAC systems can help keep utility costs in check, especially for larger families.

Winner: Novi’s newer homes offer better energy efficiency, potentially offsetting higher base utility costs.

Sunlight shines through maple trees over a quiet residential street in Farmington Hills, Michigan, with telephone wires overhead and well-kept homes. — Tree-lined street in an established Farmington Hills neighborhood.

Feeding Your Family: Grocery and Food Costs

When it comes to putting food on the table, Novi and Farmington Hills offer a similar selection of grocery stores and restaurants. Expect to pay around $100 per week on groceries for a single adult, or $150-$200 for a family of four.

However, Novi’s slightly higher median income means prices at specialty stores and upscale restaurants may be a bit steeper. A nice dinner out for two might run $75-$100 in Novi, compared to $60-$80 in Farmington Hills.

Of course, budget-conscious shoppers can always find deals at larger chains like Meijer or Kroger. And with a bit of coupon savvy, it’s possible to keep your food costs in check no matter which city you choose.

Winner: Farmington Hills has a slight edge on grocery and restaurant costs, but smart shopping can level the playing field.

The Tax Man Cometh: Comparing Tax Rates

No cost of living comparison would be complete without considering taxes. In Novi, the property tax rate hovers around 1.5%, while Farmington Hills comes in a bit higher at 1.7%.

For a $400,000 home, that’s a difference of about $800 per year. However, Farmington Hills residents may be able to deduct more of their local taxes on their federal return, offsetting some of the difference.

Both cities charge a 1% income tax on top of the state’s 4.25% flat rate. Sales tax is also the same at 6%. Other fees, like vehicle registration and trash pickup, are broadly similar.

Winner: Novi’s lower property tax rate gives it an advantage, but the difference may be minimal for most households.

Putting It All Together: Cost of Living Comparison

Cost Factor	Novi	Farmington Hills
Housing	$1,800 – $2,200	$1,600 – $2,000
Utilities	$150 – $200	$150 – $200
Groceries	$400 – $800	$400 – $800
Transportation	$200 – $300	$200 – $300
Taxes	1.5% property, 1% income	1.7% property, 1% income
Misc.	$500 – $1,000	$500 – $1,000
Est. Monthly Total	$3,050 – $4,500	$2,850 – $4,300

Estimates reflect 2025 costs for a mid-size household (2-bedroom apartment or 3-bedroom home) using published national data and regional benchmarks. Actual expenses will vary with household size, lifestyle, and neighborhood.

As the table shows, a typical family can expect to spend around $200 less per month living in Farmington Hills compared to Novi. Over the course of a year, that adds up to nearly $2,400 in potential savings.

However, it’s important to remember that these are averages. Your actual costs will depend on your specific housing situation, energy usage, and spending habits. And for some families, the intangible benefits of living in Novi — like newer homes or slightly quicker commutes — may be worth the added cost.

Lifestyle Factors to Consider

Of course, cost of living is just one piece of the puzzle. Novi and Farmington Hills also offer distinct lifestyle advantages that can sway your decision.

Novi is known for its top-rated schools, upscale shopping, and easy access to major highways like I-96 and I-275. The city’s newer housing stock and well-maintained parks give it a polished, suburban feel. Commuters appreciate Novi’s central location, with downtown Detroit just 30 minutes away.

Farmington Hills, on the other hand, offers a bit more breathing room. Lot sizes tend to be larger, and the city’s mature trees and rolling hills give it a cozier vibe. Nature lovers appreciate the city’s extensive park system, which includes over 600 acres of green space.

Both cities offer a range of community events and recreational programs, from farmers markets to holiday parades. And with a diverse mix of restaurants and cultural attractions, there’s always something to do in Novi and Farmington Hills.

Ultimately, the right choice depends on your family’s unique needs and priorities. By weighing both the cost of living and lifestyle factors, you can make an informed decision that sets you up for long-term success.

Frequently Asked Questions

Is Novi more affordable than Farmington Hills in 2025?
Based on our analysis, Farmington Hills offers a slightly lower overall cost of living compared to Novi. However, the difference is relatively small, and individual factors like housing, energy usage, and spending habits can sway the balance.

How do property taxes compare between Novi and Farmington Hills?
As of 2025, Novi’s property tax rate is around 1.5%, while Farmington Hills comes in a bit higher at 1.7%. For a $400,000 home, that translates to a difference of about $800 per year.

Are utility bills typically higher in Novi or Farmington Hills?
Utility costs are broadly similar between the two cities, with most households paying around $150-$200 per month. However, Novi’s newer housing stock may offer slightly better energy efficiency, potentially lowering bills.

How much could a family of four save by choosing Farmington Hills over Novi?
Based on our estimates, a typical family of four could save around $200 per month, or $2,400 per year, by living in Farmington Hills instead of Novi. However, actual savings will depend on factors like housing, energy usage, and lifestyle.

The Bottom Line

For the Johnson family, the choice between Novi and Farmington Hills comes down to a careful balance of costs and amenities. With two young children and a love for the outdoors, Farmington Hills’ lower housing costs and expansive parks are definitely appealing.

However, the Johnsons also value Novi’s top-rated schools and newer homes. And with Jessica’s job in downtown Detroit, Novi’s slightly quicker commute could make a big difference in their daily routine.

Ultimately, the Johnsons will need to crunch the numbers and weigh their priorities carefully. But one thing is clear: both Novi and Farmington Hills offer a high quality of life at a relatively affordable price point.

If you’re considering a move to Novi, Farmington Hills, or anywhere in Metro Detroit, be sure to check out our other resources:

With careful planning and a bit of research, you can find the perfect hometown to fit your family’s needs and budget in 2025 and beyond.

📊 Novi Mi Economic & Cost Outlook – January 2026

Novi's economy stays strong with 3.6% unemployment and median household incomes over $110,000, while the regional cost of living remains just below national average. Gas prices sit at $2.85 per gallon but expect modest increases heading into spring, and your heating bills should drop significantly as temperatures rise from the low 40s. With housing values at $

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Novi's cost of living sits just below the national average with a regional price index of 98 (Bureau of Economic Analysis), making it a relatively affordable option in the Detroit metro area—especially given the strong local economy. With unemployment at just 3.6% (Federal Reserve Economic Data), the job market remains tight, which helps explain why the median household income here is $110,588 per year (Census Bureau)—well above state and national averages. If you're weighing a move or job change over the next two months, this combination of solid employment and reasonable costs creates a favorable window. Housing costs reflect the area's appeal: median home values stand at $380,200 while renters pay around $1,584 monthly (Census Bureau). With spring approaching, the housing market typically picks up activity, so if you're planning to buy, starting your search now could give you more negotiating room before the seasonal rush hits in late April and May.

Your utility bills will shift noticeably as we move from winter into spring. Electricity runs 20.46¢ per kilowatt-hour and natural gas costs $11.89 per thousand cubic feet (Energy Information Administration), which means those heating bills that spiked during January and February should start dropping as temperatures climb from the current 43°F. Expect meaningful savings on your gas heating costs through March and April as overnight lows moderate—this is typically when households see their lowest combined utility expenses before air conditioning season kicks in. If you've been considering energy-efficient upgrades like a programmable thermostat or improved insulation, the money you save over the next eight weeks could help fund those improvements before summer heat arrives.

Transportation costs remain manageable with gas at $2.85 per gallon (AAA), which is below the recent national average and makes commuting more affordable for those who drive to work in the Detroit metro area. As we head into spring, gas prices historically tick upward with increased travel demand and the switch to summer-blend fuel, so if you're budgeting for the next couple months, plan for a potential 15-20 cent increase per gallon by late April. Grocery costs align closely with national averages—you'll find staples like chicken at around $2.00 per pound, eggs at $2.80 per dozen, and milk at $3.92 per half-gallon (derived estimates based on Bureau of Economic Analysis regional adjustments). With spring produce season approaching, fresh fruits and vegetables should become more abundant and affordable through local sources, offering a good opportunity to shift your meal planning toward seasonal items that stretch your grocery budget further.

Looking at the bigger picture for the next sixty days, Novi residents are in a solid position for financial planning. The strong job market and above-average incomes provide cushion against modest increases in gas prices and the typical spring uptick in housing activity. Your biggest savings opportunity comes from declining heating costs as winter fades—redirect that money toward an emergency fund or debt reduction while your monthly expenses dip. If you're considering a lease renewal coming due in spring, factor in that rental market competition typically increases through May, so early negotiation might lock in better terms. The combination of economic stability, reasonable living costs, and seasonal utility savings makes this an ideal time to reassess your budget and make moves that position you well for the rest of the year.

Sources: NOAA Weather, FRED (Federal Reserve), U.S. Census Bureau, BEA, AAA Gas Prices, EIA, USDA ERS • Updated January 08, 2026