Median rent is 30% lower in Houston ($1,313/mo vs $1,879/mo). Buying is cheaper in Houston, where the median home runs $253,400 versus $879,500. Households earn more in Los Angeles ($80,366 vs $62,894 a year). Taken together, Houston is the more affordable choice with a cost index of 98.8 against 113.3 — about 13% lower overall prices. After adjusting income for local prices, a typical paycheck stretches further in Los Angeles, CA.
Quick verdict
Houston is 13% cheaper overall
Cost index: 98.8 in Houston vs 113.3 in Los Angeles (US average = 100)
City A
Houston, TX
City B
Los Angeles, CA
How much would you need to earn in Los Angeles, CA to maintain your standard of living from Houston, TX?
Equivalent salary in Los Angeles, CA
$86,038
You'd need $11,038 more (15% higher).
Based on BEA Regional Price Parity (cost index) for each city's metro area. A rough estimate of overall purchasing power, not tax or take-home pay.
Metric
Houston
Texas
Los Angeles
California
👥Population
💰Median Household Income
Annual
🏠Median Gross Rent
Per month
🏡Median Home Value
📊Cost of Living Index
US avg = 100
🔑1BR Fair Market Rent
HUD FMR
🔑2BR Fair Market Rent
HUD FMR
🔑3BR Fair Market Rent
HUD FMR
🌬️Air Quality Index
Lower = cleaner
🏛️Top State Income Tax
Top marginal rate
🧾State Sales Tax
Statewide base rate
🎂Median Age
Years
✓ = better value · Sources: US Census ACS, BEA RPP, HUD FMR, EPA AirNow, Tax Foundation
Renters will find significantly cheaper housing in Houston — median rent of $1,313/mo versus $1,879/mo in Los Angeles, a 30% difference. Home buyers face a steeper market in Los Angeles: the median home is $879,500 versus $253,400 in Houston — 71% more expensive.
1BR Fair Market Rent
2BR Fair Market Rent
BLS OEWS 2023 — metro-level data
Texas has no state income tax, while California tops out at 13.30% — giving Houston a clear advantage for high earners. Sales tax is 6.25% in Texas and 7.25% in California; Houston has the lower rate (local add-ons may apply in both).
Houston
Income tax: None
Sales tax: 6.25%
Los Angeles
Income tax: 13.30%
Sales tax: 7.25%
Houston has cleaner air on average: 52.0 AQI (Moderate) compared to 77.0 AQI (Moderate) in the other city. Lower AQI means cleaner, healthier air.
Pick Houston if you prioritize lower overall cost of living (index 98.8 vs 113.3).
Pick Los Angeles if you prioritize higher median household income ($80,366/yr).
Pick Houston if you prioritize cheaper rent ($1,313/mo median).
Pick Houston if you prioritize cleaner air quality (avg AQI 52.0).
Is Houston cheaper than Los Angeles?
Houston is cheaper overall, with a cost of living index of 98.8 versus 113.3 (US average = 100). That means prices run about 13% lower in Houston.
How much is rent in Houston vs Los Angeles?
Median rent is $1,313/mo in Houston, TX and $1,879/mo in Los Angeles, CA. Houston, TX has the lower rent by about 30%.
Which has higher salaries — Houston or Los Angeles?
Median household income is $62,894 in Houston, TX and $80,366 in Los Angeles, CA. Los Angeles, CA has the higher median income. Note that BLS occupational wages in the table above show wages for specific jobs.
Which city has better air quality?
Houston, TX has better air quality on average: 52.0 AQI versus 77.0 AQI. Both are EPA AirNow annual averages; lower is better.
Which has lower taxes — Houston or Los Angeles?
Texas has no state income tax. California has a top rate of 13.30%.
What salary do I need in Los Angeles to match my Houston income?
To maintain the same purchasing power, a salary of $100,000 in Houston, TX is equivalent to roughly $114,717 in Los Angeles, CA (using the BEA Regional Price Parity ratio). Use the salary calculator above for any income amount.
Data last updated: December 1, 2024 · Sources: US Census ACS, BEA RPP, BLS OEWS, HUD FMR, EPA AirNow, Tax Foundation · Methodology