This article aims to explore the various reasons why Chicago is so expensive and a costly place to live and visit. From tax hikes to high real estate prices, there are many factors that contribute to Chicago’s high cost of living. We will take a look at these factors and discuss how they impact the price tag associated with visiting or living in Chicago.
To start with, Chicago is a vibrant and bustling city known for its iconic skyline, world-class architecture, deep dish pizza, and more! It is the third most populous city in the United States.
Chicago has a history that dates back to the early 1800s when it was first established as a trading post by Jean Baptiste Point du Sable. The city grew rapidly during the 19th century due to its key location on Lake Michigan and its role as an important transportation hub. Below are the reasons why Chicago is so expensive!
Reasons why is Chicago so expensive
1. High cost of living
Chicago is known for its impressive skyline, vibrant culture and sports teams, but it also has a less appealing claim to fame – its high cost of living. The cost of living in Chicago is higher than most other U.S. cities, with expenses such as groceries, transportation, housing, utilities and healthcare all being significantly more costly than average for an American city.
This means that basic necessities like food, shelter and heating can become much pricier for those living in Chicago compared to those living elsewhere.
2. Expensive housing
Chicago is known as one of the most expensive cities to live in with its high cost of living. Expensive housing is one of the factors that makes Chicago so pricey, with more residents turning to renting rather than buying a home.
The median price of a home in Chicago is around $285,000 according to realtor, which is higher than the national average. The rent for an apartment can also be very costly and continue to increase year after year due to rising demand.
For those looking for luxury apartments or condos, prices can reach up into the millions. This makes it difficult for middle-class families trying to settle down in this city.
3. High costs of goods and services
Living in Chicago can be expensive, due to the high costs of goods and services. Since it is one of the largest cities in America, many items are charged at a premium rate. Shopping for basic necessities such as food and clothing can be costly compared to other areas, so it’s important to budget carefully if you’re living in the city.
4. Large tourism industry
The large tourism industry in Chicago has been one of the key factors that makes it an expensive place to live. Chicago is a major cultural and economic hub, and as such, draws huge numbers of visitors from all over the world. This influx of people drives up demand for housing, restaurants, attractions and events which all contribute to making it more costly for local residents to call the city home.
The number of tourists visiting Chicago each year has increased significantly in recent years, with over 54 million people taking part in some form of tourism activity within the city’s boundaries. Visitors come to experience iconic landmarks like Millennium Park or take part in popular events such as Lollapalooza or Navy Pier’s Fourth of July Fireworks show.
5. High cost of healthcare facilities
The cost of healthcare services in Chicago is often much higher than what you will find in many other major cities across the country, due to its larger population size, rising real estate prices and increased competition between providers driving up rates. This discrepancy can be seen even when comparing local hospitals with those located just outside the city limits — offering similar services but at lower prices.
6. High sales tax rate
The City of Chicago has an additional sales tax rate of 9.75%, which is one of the highest sales tax rates in America, making it difficult for residents to afford day-to-day necessities and luxuries alike.
This high sales tax rate not only affects those who call Chicago home, but also visitors to the city who are forced to pay additional taxes on purchases made while visiting.
This means that tourists often have to pay more money than they would if they were shopping in other parts or regions within the United States, adding even more costs associated with visiting or living in Chicago.
Some interesting facts about Chicago
Famous Things that Chicago is known for
a) Beautiful architecture
Chicago is a gorgeous city known for its beautiful architecture, which has made it famous around the world. From the modern skyscrapers that dot its landscape to the historic gems of various eras, there is no shortage of architectural treasures in Chicago.
The city is perhaps best known for its iconic buildings such as the Willis Tower (formerly Sears Tower), John Hancock Center, and Tribune Tower. These structures are just some examples of modern architecture that make Chicago stand out from other cities around the world.
In addition to these iconic buildings, Chicago also boasts many classic American buildings such as The Rookery and Reliance Building, both designed by celebrated architect Louis Sullivan. These two buildings perfectly illustrate Sullivan’s signature style of ornate detailing on a grand scale.
b) Grant Park
Grant Park is one of the reasons why Chicago is an iconic city. Located on the shores of Lake Michigan and stretching for 319 acres, Grant Park has been a hallmark of Chicago since 1844 when it was established as “Public Ground”. Whether locals or tourists, people flock to this incredible green space in the heart of downtown Chicago to take in the sights and sounds.
The park is home to countless attractions sites including Buckingham Fountain, The Art Institute of Chicago, Millennium Park and Maggie Daley Park – making it a perfect destination for families looking for something fun to do.
With miles of trails along Lake Michigan, Grant Park also offers plenty of opportunities for running or biking while taking in all that nature has to offer. Not only that, but there are numerous concerts and festivals held throughout the year with many free options available!
c) Sports teams
Chicago is known around the world as a premier destination for sports teams. Home to professional and college teams, the city has consistently drawn in big crowds, resulting in an immense amount of local pride and loyalty. This notoriety has allowed Chicago to become one of the most famous cities for its sports teams over the years.
From legendary basketball teams such as the Bulls and their six championship wins, to Major League Baseball’s beloved Cubs and White Sox, Chicago offers something for fans of all ages. Football fanatics can cheer on one of two NFL clubs – The Bears with their long list of achievements or The Fire Soccer Club who have been making waves since 1997.
Whatever sport your team plays, if you’re looking for a place that proudly represents each sport at its highest level then look no further than Chicago!
d) Deep-dish pizza
Chicago is known for many things, but one of the most iconic dishes that has made its way onto the world stage is deep-dish pizza. As one of the Windy City’s signature dishes, it has become a favorite across the globe.
Deep-dish pizza was first introduced to Chicago by two brothers from Italy in 1943. Since then, it has grown in popularity and its unique style can be found in restaurants all over the city.
The pizza consists of a thick crust filled with cheese and toppings, then topped with a layer of tomato sauce. It is often served as an individual-sized pie or as a large family-style dish shared amongst friends and family.
e) Cloud Gate
Cloud Gate, an iconic bean-shaped sculpture located in Millennium Park, is one of the reasons Chicago has become so famous. Since its construction in 2004, it has become a much-loved symbol of the city and has become a popular destination for tourists and locals alike.
Its silhouette is immediately recognizable; visitors cannot help but be impressed when standing beneath its 12-foot-high stainless-steel arches or taking pictures with its smooth mirrored surface reflecting the Chicago skyline.
The sculpture was designed by Indian-born British artist Anish Kapoor and is also known as ‘The Bean’ due to its resemblance to the legume. It stands at 33 feet long and weighs 110 tons, making it one of the largest sculptures of its kind in America.
In conclusion, Chicago is an expensive city to live in due to the high cost of housing, taxes, and transportation. It may be difficult for some to afford the cost of living in this city, but it also offers a wide range of job opportunities and attractions that make it worth the expense. For you looking for ways to reduce your costs, it’s important to explore creative solutions such as house sharing or bike commuting.