Dallas, TX Cost of Living (2026)

Dallas has a cost of living index of 105, right at the edge of the national average. The housing index is 118, which places it modestly above average, though still far below most coastal metros. A one-bedroom apartment in Dallas rents for around $1,300 to $1,700 per month. Median home prices have risen to approximately $380,000 following several years of strong population and job growth. The median household income is roughly $70,000, and at that income level, housing is manageable without consuming an extreme portion of take-home pay.

For someone moving from an average-cost city, a $100,000 salary delivers roughly $95,000 worth of purchasing power in Dallas. The difference is small, making Dallas one of the easier major-metro relocation decisions from a cost-of-living perspective. Workers coming from California, New York, or Washington state will find that the same salary provides notably better day-to-day financial position here.

Texas has no state income tax, which is an advantage that compounds over time. A worker earning $100,000 in Dallas keeps approximately $5,000 to $7,000 more per year in take-home pay compared to an equivalent earner in a state with a 6 to 9% income tax. That difference matters for savings, debt payoff, and long-term wealth building. The trade-off is Texas's high property taxes, which typically run 1.7 to 2.1% of appraised value in the Dallas metro.

Groceries and transportation costs in Dallas are close to the national average. The city is car-dependent for most residents, and DART light rail covers some corridors but does not approach the coverage of systems in larger transit cities. Car ownership costs, including insurance, fuel, and maintenance, are an unavoidable expense for most Dallas households. Auto insurance rates in Texas run above the national average, typically costing $1,800 to $2,400 per year for a standard policy.