The cost of living crisis in Sacramento: Why students are struggling, and what needs to change

Sacramento has always been the city that feels like home to me, no matter where I go. I’ve lived here most of my life, and I’ve always believed this city has the potential to be one of the best places to live in the country and in the world. 

But in recent years, that love has been mixed with something else entirely — growing concern. The cost of living in Sacramento is rising at an alarming rate, and for many Sacramento City College students, it’s becoming significantly harder to keep up and afford basic necessities needed to live.

In several areas, Sacramento is now more expensive than other big California cities that have always been considered untouchable when it came to cost. On a recent trip I took to San Francisco, I noticed that gas prices were lower than at many gas stations in Sacramento. On top of that, parking in Sacramento has become expensive, especially in areas near Downtown Sacramento. Whether you’re going to Downtown Commons (DOCO), Old Sacramento or even certain parts of Midtown, you’re often forced to pay rates that feel almost predatory, especially for us students who just want to study or grab food without having to worry about breaking the bank. According to KCRA, parking costs specifically tied to meters have almost doubled since 2016, going from a flat rate of $1.75 per hour to $3 per hour.

Food prices are another major problem that has continued to get worse over time. Of course, this is an issue extending far beyond Sacramento. But this issue is one that many City College students bring up as a concern. 

“It feels like every grocery store trip is more expensive than the last, even when buying basic items that have always been affordable,” said student Corvell Banks. 

Many students may avoid eating out entirely because meals that used to cost $10 to $12 are now $18 to $25 for the same meal, often with significantly smaller portions. Multiple students told me they often have to skip meals or switch to less healthy options, as they are typically much cheaper, and they cannot afford most fresh food right now. 

This is becoming a common reality for young people in Sacramento, especially those of us who balance full-time school, full-time work and pay that falls short of meeting the high costs in the city. According to the MIT Living Wage Calculator, individuals in Sacramento County need to earn about $26 per hour while working full-time just to meet basic expenses as a single adult with no children. 

Housing is one of the biggest issues of all. Rent prices have skyrocketed across the city, from Tahoe Park to Arden, to Midtown, to Natomas and South Sacramento. Most Sacramento residents have had their rent raised several times in the last few years, and moving to another apartment may not be an option for everyone, as other areas  in and around Sacramento are just as expensive — if not worse. 

Over time, Sacramento rent and home prices have increased far faster than household incomes. Homes that sold for $300,000 in the early 2010s are now selling for double that price, or more, making homeownership feel virtually impossible to us students in younger generations. Even splitting rent with roommates doesn’t solve the problem anymore, as the price of rent for most living spaces without any utilities can reach or exceed $2,000 per month. According to Zillow, rent in the city of Sacramento has almost doubled since 2018, going from an average of $1,300 per month to $2,100 per month, which is a drastic jump in such a short amount of time.

One of the most frustrating parts of this crisis is the job market. The current job market is awful and continues to decline every day. According to Business Insider, applying to a job in 2025 is the statistical equivalent of hurling your resume into a black hole. If you are lucky enough to be hired, employers are offering wages that don’t match the cost of living, hours are extremely limited with full-time work being very difficult to come by, and in many cases, these jobs expect workers to take on more responsibilities, and deal with much higher stress for the same or even less pay than a few years ago. 

I work as an assistant manager at a very busy car wash in Arden Arcade, and I personally deal with these issues, and more. I am expected to do an extremely large amount of tasks, expected to treat this job as a priority, and to commit much of my time to this job, despite being paid $19 per hour, which is not only less than fast food workers are paid, but it is not even close to enough money for my to afford rent, groceries, other essentials, or to survive in general. Even working full-time is not enough, because the cost of gas, rent, groceries, food and parking wipes out my paycheck within a week of receiving it.

This begs the critical question: Why is all of this happening? Sacramento has grown extremely fast in recent years, especially since the pandemic, largely because many people moved here from San Francisco and the Bay Area in general, as well as some parts of Southern California, searching for cheaper living. This caused a sudden increase in demand for housing, which led to an increase in the cost of living for everyone. 

On top of this, inflation across the country has driven up the cost of living, affecting food, rent, utilities, groceries, and more everyday essentials. And while the cost of living keeps rising, wages in Sacramento have not seemed to catch up. The result of all of these factors is a city where everyday life is becoming unaffordable for the very people who keep the city running, especially its students and young adults in general.

Something must be done to fix this issue before it reaches a point of no return. Sacramento needs more affordable student housing, improved public transit for students, and major investments in job-training programs that offer livable wages. Additionally, the city also needs politicians and community leaders who understand that Sacramento is no longer the cheaper alternative to Southern California or the Bay Area, and that it is facing its own affordability crisis that is hitting students and the working class the hardest.