Cost of Living: Houston vs Dallas (2026)

Houston has a 4% lower overall cost of living than Dallas as of Q1 2026. A one-bedroom apartment runs $1,350/mo in Houston vs $1,500/mo in Dallas โ€” a 10% difference.

  • Houston is 4% cheaper overall (COL index: 95 vs 99)
  • 1BR rent: $1,350/mo in Houston vs $1,500/mo โ€” 10% savings
  • Houston has 0% state income tax โ€” saves ~$3,300+/yr at a $75K salary
  • Higher median household income: Dallas ($60,000/yr vs $56,000/yr)
  • Median home price: $280,000 in Houston vs $330,000 โ€” 15% difference
Category
Houston
Texas
Dallas
Texas
๐Ÿ  HousingQ1 2026
Studio rent/mo$1,050Best$1,200
1BR rent/mo$1,350Best$1,500
2BR rent/mo$1,700Best$2,000
Median home price$280KBest$330K
๐Ÿ›’ Food & GroceriesQ1 2026
Groceries index (100 = US avg)94Best95
Budget meal (1 person)$12Best$13
Mid-range dinner (2)$50Best$55
๐ŸšŒ TransportationQ1 2026
Monthly transit pass/mo$90Best$96
Gas price/gal$3.10$3.05Best
Car insurance/mo$190$180Best
โšก UtilitiesQ1 2026
Monthly utilities bundle/mo$175Best$175
Internet/mo$65$60Best
๐Ÿ’ฐ Income & TaxesQ1 2026
Median household income/yr$56K$60KBest
State income tax%0.0%Best0.0%
Sales tax (combined)%8.3%Best8.3%
๐ŸŽฌ LeisureQ1 2026
Movie ticket$15.00Best$15.00
Gym membership/mo$35Best$38
Beer at restaurant$6.00Best$6.00
๐Ÿ“Š OverviewQ1 2026
Overall COL index (100 = US avg)95Best99
Walk score / 10049Best46

Frequently asked questions

Is Houston cheaper than Dallas?

Yes. Houston is 4% cheaper than Dallas based on overall cost of living indices (95 vs 99, where 100 = US average).

What is the average rent in Houston vs Dallas?

As of Q1 2026, the median 1-bedroom rent in Houston is $1,350/month and in Dallas is $1,500/month. Houston is cheaper by 10%.

How much do I need to earn in Dallas to match a $75,000 salary in Houston?

To maintain a similar lifestyle, you would need approximately $78,158/year in Dallas to match a $75,000 salary in Houston. This estimate is based on overall cost of living indices and does not account for individual spending patterns.

Which city has lower taxes โ€” Houston or Dallas?

Dallas has the lower state income tax rate at 0% vs 0%. Dallas has no state income tax at all, which can save thousands of dollars per year depending on your income. Note that sales tax and local taxes also vary โ€” see the full breakdown in the table above.

Is it worth moving from Houston to Dallas?

It depends on your priorities. Houston offers lower overall costs and tax advantages, but both cities have different job markets, weather, and lifestyle trade-offs. Use the comparison table above to evaluate rent, groceries, transportation, and income potential side by side based on your specific budget.

Data sourced from Zillow, BLS, Numbeo, Tax Foundation, and US Census ACS ยท Updated Q1 2026 ยท For general guidance only

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