Anchorage, often called the “Gateway to the Last Frontier,” is a city of breathtaking landscapes and outdoor adventure. With its stunning mountain views, abundant wildlife, and a unique mix of urban amenities and rugged charm, it’s no wonder that many people dream of calling Anchorage home. However, life in this Alaskan city comes with its own set of challenges. So whether you’re looking for a cozy apartment in Anchorage or a modern apartment in downtown Anchorage, you’ve come to the right place.
In this ApartmentGuide article, we’ll explore the various pros and cons of living in Anchorage, helping you decide if this northern city is the right place for you.
Fast facts about living in Anchorage
- Known for: Stunning landscapes, proximity to wildlife, and outdoor adventure opportunities
- Fun fact: Anchorage has nearly 24 hours of daylight in summer and extended darkness in winter
- Population: Over 290,000 residents
- Average rent: $1,412 per month for a one-bedroom apartment
- Median home sale price: $420,000
- Public parks: Over 223, including the expansive Kincaid Park
- Languages spoken: Predominantly English, with a significant Alaska Native language presence
- Proximity to Denali National Park: About 240 miles north
- Restaurants: A variety of local dining options, with a focus on fresh seafood and Alaskan specialties
1. Pro: Spectacular natural beauty
Anchorage is surrounded by awe-inspiring natural landscapes. From the Chugach Mountains to the scenic coastlines and sprawling forests, residents enjoy easy access to Alaska’s rugged beauty. Wildlife such as moose, eagles, and even bears can often be seen right in town, and the city is within reach of stunning national parks and nature reserves.
Popular outdoor recreation areas in Anchorage
- Kincaid Park
- Chugach State Park
- Tony Knowles Coastal Trail
- Flattop Mountain Trail
- Far North Bicentennial Park
2. Con: High cost of living
The cost of living in Anchorage is 25% higher than the national average, driven by the unique challenges of Alaska’s remote location. Daily expenses, particularly for housing and groceries, are more costly due to shipping and transportation needs. The median sale price for a home in Anchorage is $420,000, and rent for a one-bedroom apartment in Anchorage is $1,412 per month. Groceries and dining out also carry a premium, with basic goods often costing significantly more than in the lower 48 states.
Additionally, utility costs are substantial, especially in winter when heating bills rise. Healthcare is 45% more expensive than average, and with limited public transportation, residents often rely on personal vehicles, adding to monthly costs. While Anchorage offers a quality lifestyle with access to stunning natural surroundings, the high cost of living can make it challenging to balance finances and manage discretionary spending for many residents.
3. Pro: Strong sense of community
Anchorage residents share a unique bond, with a strong sense of community that comes from living in an isolated, rugged environment. Alaskans are known for being friendly, resilient, and resourceful. Anchorage hosts numerous community events, festivals, and markets that bring people together, fostering connections among residents and celebrating Alaskan culture.
4. Con: Extreme winter conditions
Anchorage winters are long, dark, and cold. Temperatures can drop well below freezing, and snowfall is frequent. The city experiences extended periods of darkness in winter, with only a few hours of daylight per day at the peak of the season. These conditions can be challenging for those unaccustomed to cold weather and limited sunlight, sometimes leading to seasonal affective disorder (SAD).
5. Pro: Outdoor recreation opportunities
Anchorage is a paradise for outdoor enthusiasts. With hundreds of miles of trails and easy access to hiking, skiing, fishing, and kayaking, there’s no shortage of outdoor activities. The nearby Chugach State Park and countless other natural areas offer opportunities for adventure year-round, making Anchorage ideal for those who love being active in nature.
6. Con: High transportation costs
With limited public transportation options, most residents rely on personal vehicles, which can be expensive to maintain due to harsh weather conditions and rugged roads. Fuel prices are typically higher than the national average, and winter vehicle maintenance, including snow tires and regular repairs, adds to the cost of owning a car in Anchorage.
Anchorage’s transportation scores
- Walk score: 31
- Transit score: 22
- Bike score: 52
Looking for a walkable spot in Anchorage? Check out The 10 Most Walkable Neighborhoods in Anchorage, AK to find neighborhoods that make getting around a breeze.
7. Pro: Unique cultural experiences
Anchorage offers a blend of cultures, influenced by Alaska Native heritage, outdoor lifestyle, and the rugged history of the Last Frontier. Museums such as the Alaska Native Heritage Center provide insight into the region’s Indigenous cultures, while local festivals celebrate everything from the Iditarod sled dog race to the Anchorage Fur Rendezvous winter festival. This diversity adds richness to life in Anchorage.
8. Con: Limited job market diversity
Anchorage’s job market is somewhat limited, relying heavily on industries such as oil, tourism, healthcare, and government. Those seeking jobs in other fields may find fewer opportunities. Additionally, seasonal work is common, particularly in tourism and outdoor recreation, which may lead to job fluctuations depending on the time of year.
Top employers in Anchorage
- Providence Alaska Medical Center
- Alaska Native Tribal Health Consortium
- BP Exploration Alaska
- Alaska Airlines
- Anchorage School District
9. Pro: Low taxes
Alaska is one of the few states with no state income tax or sales tax, making Anchorage appealing for those seeking to save on taxes. Additionally, Alaska residents receive an annual Permanent Fund Dividend (PFD), which is a payout from state oil revenues, providing an additional financial benefit to those who live in the state for more than a year.
10. Con: Limited access to goods and services
Due to its remote location, Anchorage has limited access to certain goods and services, and imported items often come with a higher price tag. Shipping delays and shortages are not uncommon, particularly for specialty goods and products not manufactured in Alaska. This can be inconvenient for those accustomed to quick and affordable access to a wide range of goods.
11. Pro: Abundant wildlife viewing
One of the unique aspects of living in Anchorage is the chance to see wildlife up close. Moose often wander into neighborhoods, eagles soar overhead, and salmon can be seen spawning in local rivers. For those interested in wildlife, Anchorage offers a rare opportunity to experience animals in their natural habitat right in the city.
12. Con: Isolation from the lower 48 states
Living in Anchorage means being geographically isolated from the rest of the U.S. Travel to and from Alaska can be time-consuming and expensive, with few direct flights to major cities. This isolation can make it challenging to visit with individuals in other states or receive support for certain services and resources that are more easily accessible elsewhere.
13. Pro: Quality healthcare
Anchorage has several well-regarded healthcare facilities, including Providence Alaska Medical Center, the largest hospital in the state. Residents have access to specialized medical services, which is a benefit in a remote region like Alaska. Additionally, Anchorage serves as a medical hub for much of the state, meaning quality healthcare is more accessible here than in many other parts of Alaska.
14. Con: Limited nightlife and entertainment
For those who enjoy a bustling nightlife, Anchorage might feel limited. While the city has a selection of restaurants, bars, and theaters, the options are fewer compared to larger cities in the lower 48 states. Many residents instead find entertainment in outdoor activities, festivals, and community events, but those seeking a more active nightlife scene may need to adjust their expectations.
Pros & cons of living in Anchorage, AK (Summary)
- Pro: Spectacular natural beauty
- Con: High cost of living
- Pro: Strong sense of community
- Con: Extreme winter conditions
- Pro: Outdoor recreation opportunities
- Con: High transportation costs
- Pro: Unique cultural experiences
- Con: Limited job market diversity
- Pro: Low taxes
- Con: Limited access to goods and services
- Pro: Abundant wildlife viewing
- Con: Isolation from the lower 48 states
- Pro: Quality healthcare
- Con: Limited nightlife and entertainment