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Cost of Living in Gig Harbor and Washington State: A Balanced Perspective

Jennie Wetter December 8, 2024
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Cost of Living in Gig Harbor and Washington State: A Balanced Perspective

Washington State, and specifically Gig Harbor, isn’t the most affordable place to live—but that’s often the case with desirable locations! According to various sources, Washington State ranks between 3rd and 13th most expensive states in the U.S., driven largely by housing, transportation, and healthcare costs. Yet, the Evergreen State offers advantages like no state income tax and low utility costs, which can offset some of the higher expenses.

In our latest YouTube video, "The Cost of Living in Gig Harbor and Washington," we dive deeper into these factors, but let’s break them down here. https://youtu.be/C_soDDWe9lc


Housing: The Biggest Driver of Cost

Housing is the largest contributor to Washington’s high cost of living, and Gig Harbor reflects this trend. The median home price here is $840,000, nearly double the national median of $439,000. For the state overall, the median price is $658,000.

Luxury properties in Gig Harbor, particularly waterfront and view homes, push averages even higher:

  • View Homes: Average $1.23 million
  • Waterfront Homes: Average $1.7 million

While these prices are steep, there are still homes available under the median. It’s also worth noting that property taxes in Washington are below the national average at 0.92% of assessed value versus 1.11% nationally.

Gig Harbor remains a highly desirable location with limited inventory, which continues to drive home prices upward.


Insurance Costs: A Bright Spot

Despite the high housing costs, home insurance in Washington is among the least expensive in the country. At roughly 1% of the assessed value, it’s significantly lower than states like Florida, where premiums exceed 2.3%.

Gig Harbor is particularly appealing because it’s less prone to natural disasters. While earthquake insurance is optional and flood insurance is rarely required, homeowners here enjoy reasonable premiums compared to other regions.


Transportation: Mixed News

Auto Insurance: Washington drivers enjoy rates up to 20% lower than the national average.

Gas Prices: On the downside, Washington has one of the highest gas taxes in the nation—nearly $0.50 per gallon. High gas prices have prompted many residents to transition to electric vehicles, taking advantage of the state’s cheap electricity.


Utilities: A Key Advantage

Washington offers some of the lowest utility costs in the nation, thanks to abundant hydroelectric power and mild weather.

  • Electricity: Gig Harbor benefits from a local co-op with competitive rates.
  • Water: Abundant rainfall keeps water costs low, with monthly bills ranging from $35 to $100 depending on location.

Goods and Services

  • Sales Tax: With no income tax, Washington relies on sales tax, which ranges from 8.9% to 9.2% in Gig Harbor.
  • Vehicle Tabs: Reasonable base costs start at $43.25.
  • Groceries: Prices are comparable to the national average.

Final Thoughts

Gig Harbor and Washington State may not be the most affordable places to live, but their natural beauty, strong community, and quality of life make them worth it for many. If you’re considering a move, check out our YouTube video, "The Cost of Living in Gig Harbor and Washington in General," for even more details about housing, taxes, utilities, and lifestyle perks.

Whether you're dreaming of a waterfront home or wondering about your monthly utility bill, we’re here to help you navigate the process!

 

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