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America's Inflation Hotspots: 10 Cities Feeling the Pinch

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By Susan Meyer Info icon
Updated December 4, 2024
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Susan Meyer

Senior Editorial Manager

Susan is a licensed insurance agent and has worked as a writer and editor for over 10 years across a number of industries. She has worked at The Zebr…

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  • Licensed Insurance Agent — Property and Casualty
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Beth Swanson

Insurance Analyst

Beth joined The Zebra in 2022 as an Associate Content Strategist. A licensed insurance agent, she specializes in creating clear, accessible content t…

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  • Licensed Insurance Agent — Property and Casualty
  • Associate in Insurance
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  1. Cities 1 - 3
  2. Cities 4 - 6
  3. Cities 7 - 10
  4. Methodology

Since 2021, inflation in the U.S. has jumped a whopping 20%, meaning Americans are paying much more for their overall living expenses.[1] That can feel like a big hit to monthly budgets and financial security at home. And the level of pressure varies depending on geographic location and type of expense.

The Zebra set out to find which cities have experienced the worst inflation in recent years based on three data points: 

  • Increase in health insurance spending: This information gathered by the Kaiser Family Foundation looks at the increase in spending by health insurance companies on health and medical services per enrollee, which can indicate an increase in consumer healthcare costs as well. The data was collected at the state level and reported over a five-year period. 
  • Increase in grocery prices:
  • Increase in home sale prices: Using data from the National Association of Realtors, we collected the average increase in sales price of existing single-family homes between the third quarters of 2023 and 2024. 

Find out which cities have been hit the hardest by inflation and see if yours made the list.

#1: Los Angeles, California

Los Angeles has experienced one of the sharpest increases in grocery prices over the last two years, with costs soaring more than 10%. That's the fourth-highest inflation jump out of all 50 analyzed cities. In addition, housing prices rose 5.6% over the last year, and healthcare spending by insurance companies increased almost as much. Altogether, these price increases represent a significant inflation issue for Los Angeles residents.

LA by the numbers

  • Increase in health insurance spending: 5.1%
  • Increase in grocery prices: 10.1%
  • Increase in home sale prices: 11%

#2: Buffalo, New York

Buffalo's housing market has become increasingly more expensive, with an 8.8% increase in sales prices in a single year. That puts upstate New York City in second place in terms of housing cost increases. Similarly, grocery prices rose 9.2%, and health insurance spending in the state jumped 9%.

Buffalo by the numbers

  • Increase in health insurance spending: 5%
  • Increase in grocery prices: 9.2%
  • Increase in home sale prices: 8.8%

#3: Sacramento, California

Housing prices haven't increased significantly in Sacramento at just 3.3% in a year. But the city experienced the largest increase in grocery prices at a substantial 11.5%. Like Los Angeles, average health insurance spending bumped up by 5.1%.

Sacramento by the numbers

  • Increase in health insurance spending: 5.1%
  • Increase in grocery prices: 11.5%
  • Increase in home sale prices: 3.3%

#4: Riverside, California

Riverside's housing market has experienced above-average cost increases, with single-family home prices jumping 4.4% over the last year. While grocery price data wasn't available, Riverside residents may be feeling the pinch due to rising healthcare costs statewide.

Riverside by the numbers

  • Increase in health insurance spending: 5.1%
  • Increase in grocery prices: Data not available
  • Increase in home sale prices: 4.4%

#5: San Diego, California

San Diego grocery stores are where residents likely feel the biggest financial sting due to inflation. Food costs have increased by nearly 10%. Home values haven't jumped as dramatically, with year-over-year sales prices rising by just 3.2%

San Diego by the numbers

  • Increase in health insurance spending: 5.1%
  • Increase in grocery prices: 9.8%
  • Increase in home sale prices: 3.2%

#6: Oklahoma City, Oklahoma

Oklahoma City has experienced steady inflation across all three categories. The most significant jump has been in grocery prices, which increased 9.2% over the last two years. A 4.1% jump in home sale prices was also above average compared to the other cities we looked at. Oklahoma had one of the largest spending increases by healthcare companies at 4.9%.

Oklahoma City by the numbers

  • Increase in health insurance spending: 4.9%
  • Increase in grocery prices: 9.2%
  • Increase in home sale prices: 4.1%

#7: Miami, Florida

Miami, like Oklahoma City, experienced a 9.2% rise in grocery prices over 24 months. Health insurance spending across Florida rose by 4.7%, and housing prices increased 4.6%—all of which contributed to steady inflationary pressure for Florida residents.

Miami by the numbers

  • Increase in health insurance spending: 4.7%
  • Increase in grocery prices: 9.2%
  • Increase in home sale prices: 4.6%

#8: New York, New York (tied)

New York ties for eighth on our list of cities with the worst inflation, mainly due to an 8.2% jump in sales prices across the city—the third highest in the country. Grocery prices increased by 7.2%, which sounds like a lot but is on the lower end compared to other cities. New York state also had a 5% jump in health insurance spending, which has led to higher inflation.

NYC by the numbers

  • Increase in health insurance spending: 5%
  • Increase in grocery prices: 7.2%
  • Increase in home sale prices: 8.2%

#8: St. Louis, Missouri (tied)

The next entry in our three-way tie, St. Louis also lands in eighth place. One point in its favor: the state of Missouri boasts one of the lower price increases in healthcare spending. However, groceries cost 9.1% more over the last two years, while housing prices jumped 4.4% in just a year.

St Louis by the numbers

  • Increase in health insurance spending: 4.9%
  • Increase in grocery prices: 9.1%
  • Increase in home sale prices: 4.4%

#8: San Francisco, California (tied)

The final entrant in our three-way tie for 8th place: San Francisco rounds out our list of worst places to live with inflation. It had one of the highest spikes in grocery prices in the country at 10.3%. But that was balanced out in our ranking thanks to an almost negligible increase in home sale prices — which rose just 0.7%.

San Francisco by the numbers

  • Increase in health insurance spending: 5.1%
  • Increase in grocery prices: 10.3%
  • Increase in home sale prices: 0.7%

Methodology

The Zebra pulled three data points to analyze the top 50 MSAs (by population) in the U.S. related to inflation. 

  • Increase in health insurance spending[2]
  • Increase in grocery prices[3]
  • Increase in home sale prices[4]

MSA data was used where applicable, and we sometimes substituted city or state data as necessary.

Sources

  1. Consumer price index. [Federal Reserve of Minneapolis]

  2. Increase in health insurance spending [KFF's State Health Facts. Centers for Medicare & Medicaid Services, Office of the Actuary, National Health Statistics Group. National Health Expenditure Data: Health Expenditures by State of Residence, August 2022]

  3. Grocery Price Index. [Datassembly]

  4. Research and Statistics. [National Association of Realtors]