Cost of Living & Housing in Cadillac

Cadillac's cost of living pairs genuinely affordable city-proper housing with a real, disclosed notably above-average city property tax rate and Michigan's simple flat income tax and sales tax.

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Genuinely affordable housing, with a real, disclosed geographic gap

Zillow's typical home value ran $175,964 in 2026 (up 1.6% year-over-year). A separate ZIP-code-level (49601) citation put the median sale price notably higher, at approximately $242,000 (up 12.1% year-over-year) -- plausibly reflecting a broader area, including lakefront properties around Lake Cadillac and Lake Mitchell, than the city-proper figure. Confirm current, specific listings directly (base record).

A real, disclosed notably high city property tax rate

Cadillac's own effective property tax rate ran 1.89%, well above the Wexford County median (approximately 1.06%) and both the Michigan statewide and national medians -- confirm a specific property's actual millage directly with the Wexford County Equalization Department or the city assessor (base record).

Michigan's real, flat 4.25% income tax and flat 6% sales tax -- no separate city income tax

Michigan's income tax is a real, current flat 4.25% statewide (not graduated), and the statewide 6% sales tax carries no local add-on anywhere in Michigan. Cadillac itself levies NO separate city income tax (base record).

A real, diversified manufacturing job base

Manufacturing employs approximately 26% of Cadillac's workforce and makes up roughly 47% of the city's tax base, anchored by real, named employers including Four Winns, Rexair, AAR Manufacturing, and FIAMM (base record).

Key takeaways

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Last reviewed: 2026-08-25. Independent research; not financial, tax, or legal advice -- confirm current figures with a local professional before making a decision.