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Cost of Living: Dallas, TX vs Houston, TX

A data-driven comparison of housing, groceries, transportation, taxes, job market and more. See which city gives you more for your money.

5.9% Houston, TX is cheaper overall
14.8% 14.8% cheaper housing
3.1% 3.1% cheaper groceries
Updated April 2026 · Data: Bureau of Labor Statistics, U.S. Census Bureau National average = 100

At a Glance

🏠 Housing 14.8% cheaper
Dallas
108
Houston
92
🛒 Groceries 3.1% cheaper
Dallas
97
Houston
94
🚗 Transportation ~Same
Dallas
101
Houston
100
🏥 Healthcare 3.1% cheaper
Dallas
98
Houston
95
⚡ Utilities ~Same
Dallas
104
Houston
106

Detailed Breakdown

Category Dallas, TX Houston, TX Difference
Overall Cost Index102965.9% less
Housing1089214.8% less
Median 1BR Rent$1,400$1,20014.3% less
Median Home Price$340,000$295,00013.2% less
Groceries97943.1% less
Transportation101100~Same
Healthcare98953.1% less
Utilities104106~Same

Tax Comparison

Tax Type Dallas, TX Houston, TX
State Income TaxNone (0%)None (0%)
State Sales Tax6.25%6.25%
Avg Property Tax Rate1.60%1.60%
Estate / Inheritance TaxNoneNone

What You'd Need to Earn

Dallas, TX
$72,000
Median household income
Houston, TX
$67,000
Median household income
⚠️ Heads up: Houston costs more but median income is lower. You may need to earn more to maintain the same standard of living.

Salary Equivalent Calculator

Find out what you'd need to earn in Houston to maintain your Dallas lifestyle.

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Based on overall cost index: Dallas (102) vs Houston (96). This is an estimate for comparison purposes.

Job Market Snapshot

Unemployment Rate
Dallas3.8%
Houston4.5%
Job Growth (YoY)
Dallas3.4%
Houston3.1%
Top Industries
DallasTech, Finance, Telecom
HoustonEnergy, Healthcare, Aerospace

Quality of Life

Avg Commute
Dallas28 min
Houston30 min
Walk Score
Dallas46
Houston33
Air Quality (AQI)
Dallas48
Houston52
Avg Temperature
Dallas66°F
Houston70°F
Population
Dallas1,288,457
Houston2,304,580

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Frequently Asked Questions

Is Dallas or Houston cheaper to live in?+
Houston is the more affordable option overall. The biggest difference is in housing costs, where the gap is about 14.8%. Day-to-day expenses like groceries and transportation are closer between the two cities.
How much is rent in Dallas vs Houston?+
A typical one-bedroom apartment costs around $1,400/month in Dallas and $1,200/month in Houston — a difference of about $200 per month.
Which city has lower taxes, Dallas or Houston?+
Texas has a state income tax of None (0%) and sales tax of 6.25%. Texas has a state income tax of None (0%) and sales tax of 6.25%. Consider all tax types together when evaluating total tax burden, as states with no income tax often compensate with higher sales or property taxes.
Can I afford to move from Dallas to Houston?+
Median household income in Dallas is $72,000 compared to $67,000 in Houston. Use the salary calculator above to see what you'd need to earn to maintain your current standard of living.
What about buying a home in Dallas vs Houston?+
The median home price in Dallas is $340,000 versus $295,000 in Houston — a difference of $45,000. Property tax rates also differ: Texas averages 1.60% while Texas averages 1.60%.