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So the area has a lower cost of living. What about the commute - will it take more or less time? What about parking - paid, free, or subsidized? Will you have to change how/what you eat for lunch? For example, are you going from somewhere that has an affordable cafeteria to a place where there's no cafe or local restaurants and you'd have to brown-bag it?
Ask for more vacation time, bonuses (they come out of different budgets), flex-time, work-from-home option, commuting assistance (if there's public transit) or parking assistance (if it costs $$ to park, like in Boston it's $30 a day if you don't know where to look), better benefits in general, or other things that can help make up for the lower pay. You never know until you ask!
If you can live on the salary, and it's in your dream industry/dream job, then go for it. If there's a big chance that the sacrifices you have to make will make you resentful or regretful, make sure that you will be able to live with those feelings.
Good luck!!
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