SmartAsset ranked cities by cost of living increases, placing Orange County fourth at 7.3%, Los Angeles 43rd at 4.45% and San Diego 67th at 3.87% on the list.
SAN DIEGO — San Diego ranks among the nation’s fastest-growing cost-of-living areas, according to a new survey by SmartAsset, an online consumer data website. Skyrocketing real estate prices and rising gas costs drive the surge, experts say.
SmartAsset ranked cities by cost of living increases, placing Orange County fourth at 7.3 percent, Los Angeles 43rd at 4.45 percent and San Diego 67th at 3.87 percent.
Alan Gin, an economics professor at the University of San Diego, attributes much of the increase to these factors. “Southern California is a desirable place to live and that attracts people and that drives up the cost of living, particularly housing,” said Gin. “People want to live here and that drives up the housing prices. At the same time, we’re limited by the amount of land we have, so the supply of housing is tight and that leads to high housing prices.”
Gin notes the significant economic impact of fuel costs. “My estimate is that for every cent the price of a gallon of gasoline goes up that takes a million dollars out of the local economy.”
Ellen Wagner, a San Diego resident, struggles to afford necessities. “The cost of food has just gone up,” said Wagner, explaining how the increases affect her ability to make ends meet for herself and her animals. “I’m on EBT right now and I’m noticing prices are going up on everything.” Â She has adjusted her purchasing decisions accordingly, noting “I used to just buy stuff because it’s on sale, you know I’ll use it sometime but if I know I’m not going to use it within a month, I’m not going to buy it anymore,” said Wagner.
“It’s not surprising, San Diego has traditionally been one of the most expensive places to live in the country,” said Gin.