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Cost of Living: Houston, TX vs New Orleans, LA

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

2.1% New Orleans, LA is more expensive overall
10.9% 10.9% more expensive housing
6.4% 6.4% more expensive groceries
Updated April 2026 · Data: Bureau of Labor Statistics, U.S. Census Bureau National average = 100

At a Glance

🏠 Housing 10.9% more
Houston
92
New Orleans
102
🛒 Groceries 6.4% more
Houston
94
New Orleans
100
🚗 Transportation ~Same
Houston
100
New Orleans
100
🏥 Healthcare ~Same
Houston
95
New Orleans
96
⚡ Utilities ~Same
Houston
106
New Orleans
104

Detailed Breakdown

Category Houston, TX New Orleans, LA Difference
Overall Cost Index96982.1% more
Housing9210210.9% more
Median 1BR Rent$1,200$1,2504.2% more
Median Home Price$295,000$270,0008.5% less
Groceries941006.4% more
Transportation100100~Same
Healthcare9596~Same
Utilities106104~Same

Tax Comparison

Tax Type Houston, TX New Orleans, LA
State Income TaxNone (0%)4.25%
State Sales Tax6.25%4.45%
Avg Property Tax Rate1.60%0.55%
Estate / Inheritance TaxNoneNone

What You'd Need to Earn

Houston, TX
$67,000
Median household income
New Orleans, LA
$52,000
Median household income
⚠️ Heads up: New Orleans 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 New Orleans to maintain your Houston lifestyle.

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Based on overall cost index: Houston (96) vs New Orleans (98). This is an estimate for comparison purposes.

Job Market Snapshot

Unemployment Rate
Houston4.5%
New Orleans4.8%
Job Growth (YoY)
Houston3.1%
New Orleans2.0%
Top Industries
HoustonEnergy, Healthcare, Aerospace
New OrleansTourism, Energy, Port/Shipping

Quality of Life

Avg Commute
Houston30 min
New Orleans26 min
Walk Score
Houston33
New Orleans57
Air Quality (AQI)
Houston52
New Orleans42
Avg Temperature
Houston70°F
New Orleans69°F
Population
Houston2,304,580
New Orleans383,997

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Frequently Asked Questions

Is Houston or New Orleans cheaper to live in?+
Houston is the more affordable option overall. The biggest difference is in housing costs, where the gap is about 10.9%. Day-to-day expenses like groceries and transportation are closer between the two cities.
How much is rent in Houston vs New Orleans?+
A typical one-bedroom apartment costs around $1,200/month in Houston and $1,250/month in New Orleans — a difference of about $50 per month.
Which city has lower taxes, Houston or New Orleans?+
Texas has a state income tax of None (0%) and sales tax of 6.25%. Louisiana has a state income tax of 4.25% and sales tax of 4.45%. 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 Houston to New Orleans?+
Median household income in Houston is $67,000 compared to $52,000 in New Orleans. 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 Houston vs New Orleans?+
The median home price in Houston is $295,000 versus $270,000 in New Orleans — a difference of $25,000. Property tax rates also differ: Texas averages 1.60% while Louisiana averages 0.55%.