The Long Island Paradox
Long Island presents a unique economic challenge: its exceptionally high incomes are consistently eroded by an even higher cost of living. This dashboard provides an at-a-glance view of this core tension. Use the buttons below to toggle between Nassau and Suffolk counties and see how key metrics compare for 2025.
Median Household Income
(2025 Projection)
Cost of Living Index
(US Average = 100)
Median Home Price
(March 2025)
The Long Squeeze: 2008-2025
The current affordability crisis is not a recent event. It's the result of a 15-year squeeze where income growth has barely kept pace with inflation, leaving the real purchasing power of Long Islanders stagnant since the Great Recession.
Nominal vs. Real Income Growth (LI Average)
This chart shows the divergence between the income on your paycheck (Nominal) and what that money can actually buy (Real, adjusted for inflation). While nominal income has risen, real income has remained flat, highlighting the erosion of wealth.
The Housing Crisis: Epicenter of the Squeeze
Housing is the single largest expense and the primary driver of the affordability crisis. The charts below illustrate the dramatic price escalation since 2008 and compare the financial burden on homeowners versus renters across both counties.
Home Price Index Rollercoaster (2008-2024)
This chart tracks single-family home values, revealing three distinct phases: the 2008 crash, a slow decade-long recovery, and the unprecedented post-2020 surge which pushed values far beyond previous peaks.
The Rental Explosion (2008 vs. 2025)
While home prices get the headlines, rental costs have quietly exploded. This chart compares median rent in 2008 to today, showing a more than doubling of costs that has crippled renters' ability to save.
The Housing Burden: Owners vs. Renters (2025)
A household is "cost-burdened" if it spends over 30% of its income on housing. This is the reality for over half of all renters on Long Island, and more than a third of homeowners with a mortgage.
The Unavoidable Burden: Taxes
Beyond housing, Long Island's famously high property taxes and recent federal tax law changes place immense pressure on household budgets. This section visualizes the scale of the tax burden and explains the impact of the SALT deduction cap.
A Nation-Leading Property Tax Bill
Driven primarily by the high cost of funding 124 separate school districts, property taxes have consistently grown faster than inflation for over a decade. In both counties, the median annual property tax bill now exceeds $10,000.
The SALT Cap Squeeze
The 2017 federal cap on State and Local Tax (SALT) deductions at $10,000 was a direct financial hit to Long Island homeowners, effectively increasing their federal tax liability and reducing disposable income.
Example: $18,000 Property Tax Bill
Before SALT Cap
$18,000 Deduction
After SALT Cap
$10,000 Deduction
Result: $8,000 of taxes became non-deductible, increasing federal taxable income.
A Tale of Two Counties
While both counties are expensive, they have distinct economic profiles. This interactive radar chart provides a multi-dimensional comparison, showing how Nassau and Suffolk stack up across key metrics. The "shape" of each county's profile reveals its unique strengths and weaknesses.
Nassau vs. Suffolk: A Comparative Snapshot (2025)
Conclusion: An Unsustainable Path
The data reveals a deep, structural affordability crisis on Long Island, rooted in over a decade of stagnant real income growth coupled with skyrocketing housing costs and a heavy tax burden. Without significant policy changes to address these core drivers, the region risks becoming an exclusive enclave, unable to attract and retain the diverse workforce needed for a sustainable future.
Data synthesized from U.S. Census Bureau, FHFA, BLS, and other official sources mentioned in the source report. Application created for illustrative purposes.