Cost of Living in Austin, TX
Austin cost of living index: 117.94 (above the US average). Median home price: $500,000.
Updated 2026 • Based on 40 local zip codes
📍 Some data sourced from nearby metro area
17% above the national average
Housing
Data from 40 zip codes
Housing costs in Austin, TX based on real market data from 40 local zip codes.
When considering a move to Austin, TX, it's important to evaluate the housing market. With a housing index of 126.72, the market appears slightly above the national average, indicating competitive pricing. The median home price is currently set at 500000.0, suggesting a significant investment in property. Renting options reveal an average rent of 1745.77 for a 2-bedroom apartment and slightly higher at for a house. Assess your budget and lifestyle needs carefully, as this city may offer vibrant communities but could require a substantial monetary commitment.
Last updated: January 2026
Utilities
The cost of utilities such as electricity, natural gas, and other services can significantly impact the overall cost of living.
Living in Austin, TX could entail variable utility costs. Electricity costs sit at $14.47, while natural gas is priced at $26.29 per Thousand Cubic Feet. Expect to budget about $200.0 monthly for other services like water and garbage.
Cost Breakdown by Category
Local Income & Economy in Austin, TX
How far does your money go in Austin? Understanding the relationship between income and cost of living is key to evaluating affordability.
How We Calculate Adjusted Purchasing Power in Austin
The adjusted purchasing power shows what a Austin, TX household income is actually worth after accounting for local prices. We calculate it using the formula: Purchasing Power = Median Income ÷ Cost of Living Index × 100
For Austin, that's $86,556 ÷ 117.94 × 100 = $73,390. This means a household earning the median income in Austin has the equivalent buying power of $73,390 in a city where the cost of living index equals the national baseline of 100.
Austin's cost of living index of 117.94 is moderately above the US average, meaning residents pay 17% more for typical goods and services. However, with a median household income of $86,556, many families find Austin affordable relative to other cities in TX. The adjusted purchasing power of $73,390 reflects a slight reduction in buying power, but strong local job markets and quality of life often offset the higher expenses.
The local unemployment rate of 3.5% is below the national average, indicating a strong job market in Austin, TX. Combined with a median income of $86,556, this suggests good earning potential that helps offset the above-average cost of living.
💡 Purchasing power is calculated by dividing the local median household income by the cost of living index and multiplying by 100. A result higher than the nominal income means your money goes further; a lower result means local prices erode your earnings. The US baseline cost of living index is 100.
Pros & Cons of Living in Austin
Pros
- • Best known for festivals
- • Good schools available
- • Wide variety of restaurants
- • Friendly locals
- • Diverse population
- • Vibrant music scene
- • Welcoming for young adults
- • Tech hub of Texas
- • Strong job market
- • Great outdoor activities
Cons
- • Some crime in certain areas
- • Gentrification concerns
- • Traffic congestion issues
- • Limited public transport
- • Political divide in views
- • Not family-friendly in parts
- • High cost of living
- • Noise from nightlife
- • Hot summers and humidity
- • Increasing housing prices
💡City Insights
Austin scores 7/10 for affordability, 5/10 for safety, and 5/10 for family-friendliness — an good overall profile. Its strongest aspect is affordability, making it particularly suitable for budget-conscious buyers.
Frequently Asked Questions
What is the cost of living in Austin, TX? ▼
The cost of living in Austin, TX is 18% higher than the national average, with a cost of living index of 118 (where 100 represents the U.S. average). Housing typically accounts for the largest portion of living expenses. See full cost of living breakdown →
How much does it cost to buy or rent a home in Austin, TX? ▼
In Austin, TX, The median home price is $500,000. requiring approximately $150,000 annual income to afford. Average rent is $1,746/month (requiring ~$69,831/year income). The local median household income is $86,556, making homeownership challenging for typical residents. Explore Austin real estate data →
Is Austin, TX a safe place to live? ▼
Austin, TX is average in terms of safety, with crime rates near the national average. Safety varies significantly by neighborhood. View detailed Austin crime statistics →
What salary do you need to live comfortably in Austin, TX? ▼
To live comfortably in Austin, TX and afford a median-priced home of $500,000, you would typically need a household income of $125,000 to $156,250 per year. The local median household income is $86,556. Renting requires approximately $69,831/year (at $1,746/month). See full affordability analysis →
What are the best neighborhoods in Austin, TX? ▼
The best neighborhoods in Austin, TX depend on your priorities. For families, look for areas near top-rated schools with lower crime rates. For affordability, neighborhoods farther from the city center tend to offer more affordable options.
How are the taxes in Austin, TX? ▼
Tax rates in Austin, TX include state and local components. The cost of living index of 118 indicates a higher cost environment compared to the national average. View detailed Austin tax information →
How does Austin, TX compare to nearby cities? ▼
Austin, TX offers comparable costs to nearby communities. With a cost of living index of 118, median home prices of $500,000, and a crime rate of 0 per 1,000 residents, you can compare these metrics side-by-side. Use the compare feature to evaluate specific cities.
What is the weather like in Austin, TX? ▼
Weather in Austin, TX varies by season. Climate data varies by season. View detailed Austin climate & environment data →
What factors affect cost of living in Austin, TX? ▼
The main factors affecting cost of living in Austin, TX include housing costs (the biggest factor), utilities, groceries, transportation, and healthcare. Local taxes and the overall economic conditions also play a role.
Housing Costs by Zip Code
Detailed housing data across 40 zip codes in Austin, TX.
| Zip Code | Median Home Price | Avg Rent | 2BR Rent | For Sale | For Rent |
|---|---|---|---|---|---|
| 78701 | $725,000 | $4,071/mo | $3,800/mo | 207 | 250 |
| 78702 | $674,000 | $2,905/mo | $2,448/mo | 204 | 204 |
| 78703 | $1,300,000 | $3,790/mo | $2,800/mo | 111 | 127 |
| 78704 | $799,000 | $2,667/mo | $1,995/mo | 298 | 479 |
| 78705 | $350,000 | $2,119/mo | $1,845/mo | 117 | 1,177 |
| 78712 | — | — | — | — | — |
| 78717 | $569,900 | $2,282/mo | $1,800/mo | 67 | 130 |
| 78719 | $930,000 | $1,400/mo | — | 12 | 1 |
| 78721 | $489,900 | $2,305/mo | $2,000/mo | 106 | 98 |
| 78722 | $500,000 | $1,657/mo | $1,500/mo | 39 | 97 |
| 78723 | $584,000 | $2,153/mo | $1,395/mo | 170 | 193 |
| 78724 | $399,999 | $1,861/mo | $1,400/mo | 100 | 160 |
| 78725 | $270,000 | $1,833/mo | $1,399/mo | 64 | 63 |
| 78726 | $725,000 | $2,265/mo | $1,631/mo | 54 | 48 |
| 78727 | $475,000 | $2,092/mo | $1,600/mo | 63 | 115 |
| 78728 | $450,000 | $1,758/mo | $1,430/mo | 24 | 126 |
| 78729 | $475,000 | $1,870/mo | $1,450/mo | 61 | 161 |
| 78730 | $1,550,000 | $4,546/mo | $1,750/mo | 75 | 21 |
| 78731 | $995,000 | $2,753/mo | $1,800/mo | 113 | 115 |
| 78735 | $939,000 | $3,181/mo | $1,750/mo | 65 | 42 |
| 78736 | $589,000 | $2,411/mo | $1,550/mo | 27 | 25 |
| 78737 | $969,900 | $4,436/mo | — | 190 | 37 |
| 78739 | $799,000 | $3,555/mo | — | 38 | 10 |
| 78741 | $350,000 | $1,520/mo | $1,425/mo | 146 | 392 |
| 78742 | $290,000 | — | — | 1 | — |
| 78744 | $420,000 | $1,963/mo | $1,475/mo | 317 | 219 |
| 78745 | $481,500 | $1,927/mo | $1,600/mo | 322 | 421 |
| 78746 | $2,500,000 | $6,258/mo | $2,095/mo | 143 | 68 |
| 78747 | $374,990 | $2,242/mo | $1,480/mo | 268 | 121 |
| 78748 | $393,995 | $1,868/mo | $1,474/mo | 148 | 250 |
| 78749 | $575,000 | $2,580/mo | $1,595/mo | 61 | 78 |
| 78750 | $468,500 | $1,976/mo | $1,450/mo | 77 | 97 |
| 78751 | $574,999 | $2,440/mo | $1,745/mo | 92 | 320 |
| 78752 | $390,000 | $1,456/mo | $1,489/mo | 64 | 205 |
| 78753 | $369,000 | $1,563/mo | $1,375/mo | 114 | 181 |
| 78754 | $375,000 | $2,240/mo | $1,816/mo | 159 | 185 |
| 78756 | $730,000 | $2,265/mo | $2,300/mo | 37 | 71 |
| 78757 | $499,988 | $1,859/mo | $1,480/mo | 453 | 887 |
| 78758 | $415,000 | $1,710/mo | $1,500/mo | 130 | 283 |
| 78759 | $550,000 | $1,843/mo | $1,460/mo | 110 | 187 |
Explore More About Austin, TX
📅 Last Updated: January 2026
Sources: U.S. Census Bureau (ACS), Bureau of Labor Statistics, Council for Community and Economic Research (C2ER), Zillow, Redfin