Move to Vancouver to Enjoy a Low Cost of Living
Sometimes it may feel like we’re constantly being gouged by the world around us. 😕
But if we adapt to our surroundings we should be able to live the lifestyle we want on a relatively modest income 🙂 Luckily I live in what is arguably one of the most affordable cities in the world – Vancouver, B.C. Canada. 😀 I currently make more than $3,000 a month from my 2 jobs combined, but if we exclude my consumer/investment debt-related expenses for the moment, my total cost of living each month is less than $1,500. Here’s the cost of living breakdown.
Housing related $800
Food $150
Hydro+Internet+phone $100
Transportation $150
Miscellaneous $200
This budget doesn’t feel restrictive because it’s so darn cheap to live here 😀
I don’t even try to be thrifty. Things are just naturally cheap in Vancouver. As I’ll explain below, there is probably no other major city in Canada or the U.S. where I can buy the same degree of security, freedom, opportunity, and general quality of life as I have today, for just $1,500 a month.
Affordable Housing
Trying to pay for a roof over our heads in large cities like San Francisco or New York City (where the average rent is over $3,000/month.) can be financially challenging. 😕 But not in Vancouver! With interest rates so low my monthly mortgage payment on my 2 bedroom apartment is only about $800/month. 😀
There are lots of cheap options for renters too. Here’s a one bedroom apartment recently listed. It’s only $875 per month . It’s located near public transportation, restaurants, and other services, as indicated by the high Walk Score. Statistics Canada suggests that living in a high walk score neighborhood promotes a healthier lifestyle and decreases the chance of obesity.
Here is another 1 bedroom suite I found on craigslist recently for just $675 a month.
I hear 1 bedroom suites in Calgary and Toronto (outside city centers) normally rent between $1,000 to $1,200 a month. Phew. I’m glad I don’t live in those expensive cities.
Cheap Food
Eating well can be quite costly. But food is so cheap in Vancouver. I can usually buy 2 full bags of fresh fruit and vegetables for about $10 at discount produce markets. I’ve posted receipts for proof.
I can buy staples like milk, bread, and eggs at the local Walmart for $7.50. I think that’s very reasonable. (click image to enlarge)
Restaurant food and other prepared dishes are cheap too. 🙂 At Yamato Sushi in downtown for example, I can get a 22 piece assorted sushi combo including soup for just $5.95! How are they still in business? 😯
Food courts and bakeries across Metro Vancouver usually drop their prices a lot before they close for the day. 🙂 Often $4 can buy 2 full take-out boxes of food that can last me a full day lol.
Supermarkets like Loblaws and its franchises (Superstore, t&t, etc) will often mark down their pre-packaged foods in stages starting in the late afternoon. Each hour or so lower priced stickers would be applied.
This is the perfect opportunity for busy people like myself, who may not always have time to cook, to conveniently grab something cheap and easy for dinner. 🙂
Safeway will sometimes have special deals like the following which includes a pizza, ice cream, and soda, all for just $6.
If you want to be really frugal, I’ve done some research that suggests it’s even possible to survive in Vancouver without spending any money on food whatsoever. This can be done by taking advantage of free food events that happen every day around the city.
Cheap Utilities
A spokeswoman from Toronto Hydro says a typical Toronto customer pays $110 a month for electricity. In Edmonton, AB, many people spend over $200 a month for heating and power, ouch. 🙁 In New Brunswick a couple’s December energy bill came to $1,935 😯 Utilities can be quite expensive with the snow storms hitting Canada and the U.S. this past year. But not in Vancouver.
Climate has been pretty tame these last few decades here. 🙂 I didn’t even turn on my baseboard heater this past winter because it never got cold enough. 😀 Here’s a copy of my most recent hydro bill.
People in Chicago pay $300 a month for their power bill during the winter. Meanwhile I pay about $25 a month for mine. Yet another reason why living in Vancouver is so affordable. 🙂
Phone bills are cheaper in Vancouver too. According to the cellphone regulator CRTC, people in Vancouver also pay relatively less for our wireless plans than other cities in Canada on average.
Transportation
According to numbeo.com a one-way ticket on local transport in Calgary or Toronto is $3.00. But in Vancouver it’s only $2.75. 😉 A monthly pass is $128.50 in Toronto, but its just $91.00 in Vancouver. 🙂 A brand new Volkswagen Golf also costs $1,000 less in Vancouver than in Toronto.
Low Taxes
This graph I found from the bcbudget.gov.bc.ca website is a little old but it shows that B.C. has the lowest income taxes for those who are most in need of tax breaks.
So there you have it. Vancouver is one of the cheapest cities in North America to live in. If you want to live a frugal lifestyle it helps to live in a naturally frugal city. 🙂
Statistics show that Vancouverites are wealthier than the average Canadian. This is because a cheaper place to live means you spend less, which leads to more savings and investing. This is further supported by a BMO study which shows that people in B.C. believe they will save about $15,100 this year, while those in Alberta plan to only save $12,500 (21% less,) despite earning higher annual incomes than folks in B.C. I believe this is because the cost of living is higher in Calgary and Edmonton than in Vancouver. We’ve seen how just the electricity bill alone can cost hundreds of dollars more in colder cities.
It’s hard to believe how much value I’m getting with under $1,500 a month here in Vancouver. In most other cities, $1,500 will barely cover the rent for a 2 bedroom apartment like the one I’m living in today. So as far as urban living goes in the developed world, I think Vancouver is one of the most affordable cities on earth to live in. (^_^)
———————————————————–
Random useless fact:
Opps, I thought Vancouver is the expensive city in Canada. Looks like Toronto is the expensive city. In here, you cannot find a one bedroom apartment for less than $1000. I am looking to buy a small house close to Toronto area, but couldn’t find one for affordable price :(. We don’t buy any fancy items, and we shop with flyers; however, we couldn’t restrict our grocery bills for less than $400 :(. Other expenses… you already mentioned :((. Business owners, people with welfare and Rob Ford friends are enjoying the luxury life in Toronto :D.
Thanks for the data Arun. I like to hear about what the cost of living is like in other parts of the country 🙂 At least $1,000 per month for a one bedroom in Toronto is what I’ve heard as well. It’s a common misconception disseminated by the media that Vancouver is a ridiculously expensive city to live in. Most real estate stories we hear about in Vancouver, like a bidding war for a house that ends up selling for $100,000 over it’s asking price, sounds a lot more interesting than a 2 bedroom condo selling close to its assessed value. The truth is that like any other city, it CAN be expensive if one were to live in a downtown penthouse and regularly shop at Holt Renfrew. But if one lives in the suburbs and shop at Target like I do then one can also enjoy what the city has to offer without breaking the bank 🙂
Vancouver may be affordable if you rent but it’s pretty expensive if you decide to buy property though. Yikes. Listed as world’s 2nd most expensive place after Hong Kong.
I’ve heard those kinds of stories too but it’s hard for me to believe those reports when my mortgage payment is under $900 a month for a spacious 800 sq ft apartment. Many of my friends and co-workers also pay about that much for housing. In 2011 a fellow blogger, Krystal, bought a townhouse for $259,000 in Vancouver. There are certainly expensive homes here, but there are also lots of cheap ones too 😀 I bought my apartment several years ago for $230,000. Even today in 2014, some brand new condos are listing for $260,000 in Vancouver. If I can buy a place so easily on a single person’s income then I think a young working couple can easily afford a 2 or 3 bedroom condo or even a town house here. Then they can up-size to a larger place after they’ve had some time to build up their real estate equity 🙂
To be fair though, Krystal is in Greater Vancouver area. And not Vancouver.
Also statistically, it looks like Toronto still beats ya. (http://www.numbeo.com/cost-of-living/compare_cities.jsp?country1=Canada&country2=Canada&city1=Vancouver&city2=Toronto)
It’s okay though. You guys don’t get snow like we do. 😉
Ah, true 🙂
Very cheek in tongue post you got today. I think gas prices in Vancouver is higher than most cities in Canada. Sure you can rent, but do you want to rent forever? Vancouver has one of the most affordable housing markets in the world. Housing takes the most out of income I think.
Yes, we do have high gasoline price here lol. I heard it’s because of the high rate of taxes specific to Vancouver and the lower mainland.
Where’s my calender…
It’ll be in the last place you look 🙂
I live in the suburbs and it seems only big chain grocery stores are the only grocery stores nearby. I actually enjoy price comparing and price matching. Weird, I know. I’m sure smaller independent grocery stores exist, but I would have to drive further to get to them.
I, too, like grabbing the discounted ready to go food. It sure beats cooking. 😛
If you have to drive further to reach those cheaper stores then it’s probably not worth the hassle because time costs money too 🙂
Interesting post, I had no knowledge of the other costs of living in Vancouver other than hearing that the housing market was ridiculously expensive there! Seems that you have proved otherwise here though, at least when it comes to renting. I think $1500 a month in a major city (especially one that is as nice as Vancouver seems) is an awesome thing!
Yes, like many other cities I’m sure some neighborhoods in Vancouver are more costly to live in than others 😀 It’s too bad that Vancouver has a false reputation for having unaffordable housing 🙁 When people hear a house selling for a million dollars in Vancouver, they sometimes assume every house in Vancouver is priced like that. Apparently to some people cheap homes in Vancouver don’t exist. But if I go to New Jersey, San Jose, Ottawa, or any other city to search for a house to purchase but only look at properties priced higher than what I can afford, then of course I’m going to feel like it’s too expensive to live in any of those cities. Even though there are plenty of less expensive homes. And a person’s first home doesn’t have to be a 2 story house. Nothing wrong with buying a smaller apartment first, then moving up to a larger resident in the future if it becomes necessary to grow a family or something. This is how most people do it in other cities too. Homeowners today who live in million dollar homes have probably been in the real estate market for a very long time,… Read more »
I don’t see MSP premium mentioned anywhere. As a couple, we’re paying $125.50/mo (or $1,500 a year). That seems like a big one you left off your list. As for apartment, if you have a dog or cat, suddenly the price increases by 50% (if you can even find a place willing to take you within Vancouver).
Great point Martin. I forgot about MSP premiums because I’m lucky enough to work for a company that pays for mine so I rarely think about it 😉 But yes, those premiums can put quite a dent in a budget. For a single person Medical Services Plan can cost up to $69.25/month depending on the individual’s annual income. Those making less than $22K a year don’t have to pay any premiums at all 😀 That’s what nice about Vancouver and B.C. in general. The government health officials only require people to pay for public goods if they think it’s fair.
your findings are faulty and i don’t agree at all. sure, it’s *possible* to find a place in vancouver for $675, but it’s very very uncommon, and it would be such a pit you wouldn’t want to live there. most one bedroom places in vancouver start at $900. and yes, you can live very frugally, buy marked down food, forego a data plan, and take all sorts of other cost-cutting measures, but you can do that in any major city. it’s a lifestyle choice irrespective of and not bound by geography. you also neglected to mention that the cost of living in vancouver is actually very high because, on average, people make less in vancouver than in every other city you mentioned. we don’t have the oil of calgary and high finance of toronto. we have development, and very few people benefit monetarily from that.
Great points. And yeah, not many people benefits directly from our natural resources and development. I think another big economic driver here is real estate. Any time people sell homes for a profit, that’s real income they can spend. 🙂
What are your condo fees?
I would love to move into a condo but I have see such high monthly fees that the actual purchase price is a secondary concern…
My condo fees are about $250 a month. I purposefully chose to buy this condo because it doesn’t have a swimming pool, large gardens, or a fancy gym. 🙂 I find that just having just the basic strata services like garbage removal, building maintenance, and insurance coverage, can keep the condo fees down even over time. My building is over 25 years old.
Thanks author for your nice blog and great shared to Plumbing service
Vancouver plumbing
Heh…My expense breakdown is quite similar to yours. And also spending habits.
Excellent. 🙂 Great to see someone else with similar financial values.
I am so relieved and shocked at the same time as it is very contradicting to the majority of articles out there stating that the city is very expensive. I am probably moving out to Vancouver this upcoming August to peruse a one year degree and I would appreciate it if you could provide me with some of the tips to choose a decent studio apartment not far away from West Broadway where my institution is located. Many Thanks In advance.
Hi Anon. There are usually 1 bedroom apartments for $1000 or less around West Broadway.
That’s a fairly expensive place in the city because lots of people want to live in that neighborhood but there is not an abundance of housing. If you think $1000 is too expensive you can find apartments in the suburbs for $700 to $800 range. I suggest you choose somewhere close to a Skytrain station, which is our metro system essentially. 🙂 I also suggest you contact the school you are attending and ask them to give you some resources on affordable student housing around the area.
[…] my auto insurance premium has gone down because I’m a road star now. I still pay about $25/month for heating and electricity as was always the case, even during the winter. Yay for apartment living. Overall my total monthly […]
Hi I am presently living in Edmonton. and I want to move to Vancouver will you give me some tips about jobs and living there with family. I am new to Canada and every one says it is difficult to live in vancouver because of cost of living.
It’s great to hear that you want to move here. Vancouver is a terrific place to work and play and raise a family. You might run into some callous people here, but just ignore them. Most of us are pretty friendly. :0) One thing you’ll probably notice is that many Vancouver folks are obsessed with real estate, haha. The topic comes up as common as the weather. For anyone who lives in Vancouver it’s important to understand the efficient market balance between the cost of renting and owning. Interest rate policies can affect people’s perception of a market’s value. Here’s an older post about that which received a large amount of reader’s comments so there’s some interesting discussions below the article as well. https://www.freedomthirtyfiveblog.com/2014/08/real-estate-rent-vs-buy.html Rent is reasonable – $900 to $1,500+ for a two bedroom. You can find cheap groceries around, and there are lots of cheap restaurants too. Food is cheaper in Vancouver than in Edmonton if you know where to look. $600 a month for a family of 4 should be no problem if you shop at small ethnic stores. Public transit will be about $100 a month. If you drive, expect to pay $2000 to $4000 a… Read more »
I don’t know what part of Vancouver that applies to, but I can tell you I pay $8 for one loaf of bread and $6 for a dozen eggs. And of course, $60 for one haircut. I can also say there are even more expensive options. Whoever wants to stay healthy should avoid any ready-made food at t&t. You should go to Europe once to see what affordable + high quality means. I like your blog, I just don’t find it realistic.
Thanks for the reminder. I forgot to include where to buy the food staples. I usually purchase my bread and eggs from Wal-mart. I’ve added a new picture in the post showing my recent purchase.
$1.47 for bread
$2.64 for eggs
$3.37 for 2 litres of milk
Prices are higher than in the past, but I think buying a loaf of bread and a dozen eggs for $4.11 total is still affordable for most people. I know the food I buy are not as premium as the ones you eat lol. The address of the store I go to is 3585 Grandview Hwy in Vancouver. Which store do you frequent at? I’m curious to find out what $6 eggs taste like. I enjoy treating myself once in awhile. 🙂 If there’s a big difference in taste and health benefits then I might switch to going for the higher quality foods like you.
[…] was a great month for my finances. Luckily I live in Vancouver, B.C., where the cost of living is quite low, so I managed to save about $1,300 from my full time job. The rest of my net worth increase this […]
[…] government I actually know how to run a balanced budget. 😛 Thankfully Vancouver is one of the cheapest cities to live in. Yes, housing is expensive here. But since I don’t have a mortgage anymore, the […]
[…] costs in this post refer to prices in Vancouver, B.C. in […]