Median rent is 26% lower in Houston ($1,313/mo vs $1,779/mo). Buying is cheaper in Houston, where the median home runs $253,400 versus $751,700. Households earn more in New York ($79,713 vs $62,894 a year). Taken together, Houston is the more affordable choice with a cost index of 98.8 against 113.0 — about 13% lower overall prices. After adjusting income for local prices, a typical paycheck stretches further in New York, NY.
Quick verdict
Houston is 13% cheaper overall
Cost index: 98.8 in Houston vs 113.0 in New York (US average = 100)
City A
Houston, TX
City B
New York, NY
How much would you need to earn in New York, NY to maintain your standard of living from Houston, TX?
Equivalent salary in New York, NY
$85,794
You'd need $10,794 more (14% 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
New York
New York
👥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 $1,779/mo in New York, a 26% difference. Home buyers face a steeper market in New York: the median home is $751,700 versus $253,400 in Houston — 66% more expensive.
1BR Fair Market Rent
2BR Fair Market Rent
BLS OEWS 2023 — metro-level data
Texas has no state income tax, while New York tops out at 10.90% — giving Houston a clear advantage for high earners. Sales tax is 6.25% in Texas and 4.00% in New York; New York has the lower rate (local add-ons may apply in both).
Houston
Income tax: None
Sales tax: 6.25%
New York
Income tax: 10.90%
Sales tax: 4.00%
Houston has cleaner air on average: 52.0 AQI (Moderate) compared to 61.0 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 113.0).
Pick New York if you prioritize higher median household income ($79,713/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 New York?
Houston is cheaper overall, with a cost of living index of 98.8 versus 113.0 (US average = 100). That means prices run about 13% lower in Houston.
How much is rent in Houston vs New York?
Median rent is $1,313/mo in Houston, TX and $1,779/mo in New York, NY. Houston, TX has the lower rent by about 26%.
Which has higher salaries — Houston or New York?
Median household income is $62,894 in Houston, TX and $79,713 in New York, NY. New York, NY 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 61.0 AQI. Both are EPA AirNow annual averages; lower is better.
Which has lower taxes — Houston or New York?
Texas has no state income tax. New York has a top rate of 10.90%.
What salary do I need in New York to match my Houston income?
To maintain the same purchasing power, a salary of $100,000 in Houston, TX is equivalent to roughly $114,392 in New York, NY (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