Cost of Living in Houston
Overall index: 96.5 — 5 points above Texas average. Texas statewide average: 91.1.
Where your money goes in Houston
Estimated spending breakdown on a $75,000 salary in Houston
Estimated annual spending: $60,624($14,376 remaining)
What things cost in Houston
| Item | Houston | Texas avg | US avg |
|---|---|---|---|
| Median home price | $310,000 | $295,000 | $360,000 |
| Average 2BR rent | $1,400/mo | $1,112/mo | $1,400/mo |
| Gas (regular) | $3.21/gal | $3.21/gal | $3.50/gal |
| Electric bill | $87/mo | $87/mo | $137/mo |
| Infant childcare | $12,000/yr | $10,706/yr | $13,500/yr |
Index by category
Houston vs Texas statewide. National average = 100.
Other cities in Texas
FAQ
What is the cost of living in Houston?
Houston has an overall cost-of-living index of 96.5 (national average = 100). This is higher than the Texas statewide average of 91.1. Median home prices are $310,000 and average 2BR rent is $1,400/month.
Is Houston expensive to live in?
Houston is near the national average with an index of 96.5.
How much does rent cost in Houston?
Average 2-bedroom rent in Houston is $1,400/month, compared to the national average of $1,400/month and the Texas statewide average of $1,112/month.
How much does food cost in Houston?
Groceries in Houston have an index of 94.5 (national average = 100). A typical monthly grocery basket costs about $387 compared to the national average of $410. A dozen eggs costs around $4.68.
How much does childcare cost in Houston?
Center-based infant childcare in Houston averages $12,000/year ($1,000/month). This is below the national average of $13,500/year. Data from Child Care Aware of America (2024).
How does housing cost in Houston compare to Texas?
Houston's housing index is 88 vs the Texas statewide average of 79.4. Median home prices are $310,000 in Houston vs $295,000 statewide, and 2BR rent averages $1,400/month vs $1,112/month statewide.
How much does transportation cost in Houston?
Houston's transportation cost index is 94 (national average = 100). Regular gas averages $3.21/gallon. Transportation costs are near the national average.
What is the average utility bill in Houston?
Houston's utility cost index is 102.9 (national average = 100). The estimated average monthly electric bill is $87, compared to the national average of $137/month and the Texas statewide average of $87/month. Utility rates are based on EIA 2024 residential electricity data.
What salary do I need to live in Houston?
A $75,000 salary at the national average cost of living is equivalent to $72,375 in Houston. Your money goes about as far or further than the national average.
What is the living wage in Houston?
Based on Houston's cost-of-living index of 96.5, a single adult needs approximately $48,250–$58,250/year to cover basic expenses (housing, food, transportation, healthcare). For a family of four, roughly double that. These estimates scale the national baseline by Houston's local costs — actual needs vary by household size and lifestyle.
Where does this data come from?
Metro-level data combines BEA Regional Price Parities (2024), C2ER COLI metro indices (2025), Zillow ZHVI/ZORI metro data (2024-2025), and state-level data from MERIC, AAA, EIA, and Child Care Aware.
Related tools
- Texas Cost of Living — Statewide averages and all metro areas
- Texas Paycheck Calculator — Calculate take-home pay
- House Affordability in Texas — How much house can you afford?
- Texas Tax Brackets — State income tax rates and brackets
- Mortgage Calculator — Estimate monthly payments for Houston home prices
- Compare any two states
Metro-level data from BEA Regional Price Parities (2024), C2ER COLI (2025), and Zillow ZHVI (2024-2025). Where metro data is unavailable, Texas statewide averages are used.