A millennial couple who moved from Colorado to Massachusetts explains why it’s much more expensive — and why they don’t regret it

Nicole Stanley and her husband Jacob moved from Colorado to Massachusetts last year to be closer to family.

If Nicole Stanley and her husband Jacob were only thinking about their finances, they wouldn’t have left the Denver suburb of Aurora, Colorado.

The couple owns a home with a monthly mortgage payment of roughly $2,100 a month, according to a document viewed by B-17. They were lucky enough to lock in a 2.79% mortgage rate when they bought it — the average 30-year fixed mortgage rate is over 5% today.

However, one non-financial factor began to lure the couple away from Colorado: family.

“We have a large family in the Northeast, and being near them was a priority for us as we raised a family,” Nicole, who’s 31, told B-17 via email. The couple has three children under 10 years old.

So last year, the couple decided to move with their kids to Mattapoisett, Massachusetts. Due to Massachussets’ “higher cost of living,” Nicole said the move has had a significant impact on their finances.

“Financially, there weren’t a ton of pros to moving to Massachusetts,” she said. “The cost of housing, childcare, taxes, and general living expenses are higher.”

In recent years, many Americans have left high-cost states like New York and California and settled in areas with lower costs of living. However, costs aren’t the only factors that have motivated movers. Some people have relocated for warmer weather, a better life experience, and closer proximity to friends and family.

Nicole shared the biggest financial challenges that have come with moving and why despite these challenges, she and Jacob don’t regret their decision.

Moving closer to family was worth it despite high relocation and housing costs

According to an analysis published in June by the online bill-paying service Doxo — which looked at how much the average household spent each month on the 10 most common household bills, including utilities, health insurance, and housing — Massachusetts was the 3rd most expensive state in the US. Colorado ranked No. 9.

From a financial perspective, the Massachusetts move was made easier by the fact that both Nicole and Jacob worked remotely and didn’t have to search for new jobs. Living closer to family also means their travel costs to visit them are lower than they used to be.

But for the most part, Nicole said the move has been challenging on their finances for a few reasons.

First, their moving and storage costs were substantial.

Second, they decided to rent out their Denver home rather than sell it. Nicole said this required them to prepare the home for rent and hire a property management company to find tenants and manage the property. Plus, they had to sell some household items for the move and said they lost money on some of them.

Third, they’re paying more for housing in Massachusetts. The family is renting a single-family home for $4,000 a month, according to a document viewed by B-17.While they’re receiving rental income from their Colorado home, Nicole said it isn’t enough to offset their Massachusetts rent.

“Essentially, with everything included, I am paying between $500 to $1,000 more just for housing in Massachusetts,” she said.

Long term, Nicole said they hope to buy a home in Massachuseets. But for now, they feel they only have the financial means to own one home.

“We decided to keep the property in Colorado over selling the home because our interest rate is so low,” she said, adding that Colorado also has lower property taxes.

Nicole and Jacob aren’t the only Americans who have been hesitant to give up their low-interest-rate mortgages as rates have risen in recent years. For these people, buying a new home could mean taking on a significantly higher mortgage rate and monthly mortgage payment than they previously had.

“We are hoping long-term, the rental income will pay off the mortgage in Colorado and we can hold this asset as we save for a second home in Massachusetts,” Nicole said.

Lastly, while they live closer to family, Nicole said this hasn’t saved them money on childcare. However, she thinks having family close by will be helpful if there are “last-minute plans and emergencies” that require someone to watch their children.

Overall, despite their higher living costs, Nicole said she and Jacob remain confident that moving to Massachusetts was the right decision for their family. The support and community that their family has provided have made it worthwhile.

“It was not the best financial decision to make, but it is the best life decision we have made,” Nicole said of the move.