Life is getting exponentially more expensive as the fight against the COVID-19 Pandemic continues. The Big Mac index is one thing, showing the rand is an estimated -62% undervalued right now, which is as painful as the rising cost of ginger.
Data group Numbeo has released its Cost of Living indices for 2021, listing the cheapest and most expensive cities to live in across the globe - with Johannesburg ranking as the most expensive city to live in for South Africa and the fourth most expensive on the African continent. The index assessed 598 cities in 2021, up from 440 in 2020 with the methodology looking at the cost of living relative to things like transport, rent, salaries and cost of food in comparison globally.
| Rank | Most Expensive Cities for 2021 | Cost of Living Index |
| 1 | Hamilton, Bermuda | 146.33 |
| 2 | Basel, Switzerland | 136.65 |
| 3 | Zurich, Switzerland | 135.49 |
| 4 | Lausanne, Switzerland | 132.86 |
| 5 | Geneva, Switzerland | 131.75 |
| 6 | Lugano, Switzerland | 128.44 |
| 7 | Bern, Switzerland | 126.19 |
| 8 | Tromso, Norway | 113.15 |
| 9 | Stavanger, Norway | 107.95 |
| 10 | Trondheim, Norway | 107.13 |
| 11 | Oslo, Norway | 106.12 |
| 12 | Bergen, Norway | 104.07 |
| 13 | New York, NY, United States | 100.00 |
| 14 | Reykjavik, Iceland | 98.75 |
| 15 | Nagoya, Japan | 97.94 |
SEE: Global cost of the property market | SA ranks as one of the most affordable
The four South Africa's cities featured on the index, sees Johannesburg ranking the highest with an index of 46.00 and Durban considerably lower as the only local city just below 40 on the index table at 39.86. Durban also registers as the city with the lowest average take-home salary per month, according to Numbeo data.
| Rank | South African City | Cost of Living Index |
| 379 | Johannesburg | 46.00 |
| 383 | Pretoria | 44.70 |
| 404 | Cape Town | 42.24 |
| 433 | Durban | 39.86 |
Source: Numbeo
According to the Numbeo comparison data, Cape Town is the most expensive when it comes to average rent, an average of 47% higher than in Johannesburg. Cape Town also ranked as the most expensive for the groceries index, while Pretoria ranked highest for purchasing power. The below graphs outlines the cost of living mix across the four main cities.
Summary about cost of living in Johannesburg:
- Family of four estimated monthly costs are 33,630.95R without rent.
- A single person estimated monthly costs are 9,579.45R without rent.
- Cost of living index in Johannesburg is 7.81% higher than in Cape Town.
- Rent in Johannesburg is, on average, 32.83% lower than in Cape Town.
- Average Monthly Net Salary (After Tax) R21,100.10
- Mortgage Interest Rate in Percentages, Yearly, for 20 Years Fixed-Rate - 8.94 %
Summary about cost of living in Pretoria:
- Family of four estimated monthly costs are 32,496.08R without rent.
- A single person estimated monthly costs are 9,242.74R without rent.
- Cost of living index in Pretoria is 5.87% higher than in Cape Town.
- Rent in Pretoria is, on average, 46.26% lower than in Cape Town.
- Average Monthly Net Salary (After Tax) R20,464.00
Mortgage Interest Rate in Percentages, Yearly, for 20 Years Fixed-Rate - 10.35%
Source: Numbeo
Summary about cost of living in Cape Town:
- Family of four estimated monthly costs are 30,074.05R without rent.
- A single person estimated monthly costs are 8,570.81R without rent.
- Cost of living index in Cape Town is 8.00% lower than in Johannesburg.
- Rent in Cape Town is, on average, 47.25% higher than in Johannesburg.
- Average Monthly Net Salary (After Tax) R21,123.03
Mortgage Interest Rate in Percentages, Yearly, for 20 Years Fixed-Rate - 9.24 %
Summary about cost of living in Durban:
- Family of four estimated monthly costs are 28,582.15R without rent.
- A single person estimated monthly costs are 8,280.16R without rent.
- Cost of living index in Durban is 5.82% lower than in Cape Town.
- Rent in Durban is, on average, 45.45% lower than in Cape Town.
- Average Monthly Net Salary (After Tax) R15,960.00
Mortgage Interest Rate in Percentages,, Yearly, for 20 Years Fixed-Rate - 10.43%
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