Cost of Living in Austin Explained: From Rent Prices to Everyday Expenses

Thinking about making Austin, TX, your new home? Smart choice — this city’s got everything from incredible live music to a job market that just keeps growing. But before you start browsing apartments, let’s talk about the real cost of living in Austin and what your monthly budget will look like.

Moving anywhere new means figuring out more than just rent. Your grocery bills, utility costs, gas money, and weekend fun fund all matter. Understanding the true cost of living in Austin before you sign that lease can save you from some serious sticker shock down the road.

What is the average cost of living in Austin, TX?

Renting in Austin has its perks, but it also comes with higher costs compared to other Texas cities. Austin residents earn a median household income of $91,461 as of September 2025, which gives you a decent foundation to work with. But how far does that money stretch when it comes to the cost of living in Austin?

According to RentCafe.com’s Cost of Living Calculator, the cost of living in Austin runs about 3% higher than the typical Texas city, but it’s actually 3% cheaper than the average U.S. city. That’s not bad news for your wallet.

The catch? For housing, you’ll pay around 24% more in Austin than you would in other Texas cities, and about 4% more than the national average. But don’t worry, almost everything else helps balance that out.

For example, utilities are slightly less expensive, running 2% lower than the Texas average and 1% lower than the national average. Next, groceries are around 3% cheaper than the U.S. average, while healthcare and transportation costs hover near the middle. Non-essentials like entertainment and personal services are also more affordable here, coming in about 8% lower than the national average.

Here’s a quick breakdown of how the average cost of living in Austin, TX stacks up:

• Housing (buy and rent): 24% higher than Texas average, 4% higher than U.S. average
• Utilities: 2% lower than Texas average, 1% lower than U.S. average
• Food: 3% lower than U.S. average
• Healthcare: Same as Texas average, 1% lower than U.S. average
• Transportation: 1% higher than Texas average, 5% lower than U.S. average
• Goods & Services: 9% lower than Texas average, 8% lower than U.S. average

Breaking Down the Cost of Living in Austin, TX

Let’s get into the real numbers that’ll help you plan your budget and understand what makes up the cost of living in Austin.

Housing (Buy and Rent)

This is going to be your largest expense when calculating the cost of living in Austin. The city’s growing population has pushed prices up, but you’re still getting better value than in places like San Francisco or New York. Prices here run higher than the Texas average and slightly above the U.S. average, which is important for renters to keep in mind before moving.

• Average monthly rent: $1,666
• Average home price: $500,842
• Mortgage rate: 6.90%

Utilities

Texas summers mean running that AC, but utility costs in Austin are comparatively reasonable and help keep the overall cost of living in Austin manageable. Here are the prices of the most common utilities:

• Energy: $196 per month
• Phone: $203 per month

Food

Your weekly grocery trips won’t hurt your budget. Food expenses are one of the more affordable parts of the cost of living in Austin compared to other major cities.

• Gallon of milk: $4.62
• Dozen eggs: $3.05
• Loaf of Bread: $3.98
• Potatoes: $4.48
• Cheese: $4.44
• Ground beef: $7.07

Healthcare

Medical expenses sit right in the middle when you compare the cost of living in Austin to the rest of the country. Here’s what you can expect for common appointments:

• Doctor’s visit: $109.05
• Dentist: $135.58
• Optometrist: $126.98

Transportation

Getting around town won’t break your budget. Transportation costs keep the overall cost of living in Austin competitive with other Texas cities.

• Gasoline (per gallon): $2.98
• Tire balance: $67.11

Goods & Services

This is where the cost of living in Austin really shines. You’ll spend less on entertainment and personal care than in most major cities.

• Men’s shirt: $27.11
• Women’s slacks: $35.27
• Boy’s jeans: $31.74
• Haircut: $37.88
• Beauty salon: $67.39
• Dry cleaning: $13.36
• Movie ticket: $13.66

Is Austin, TX, a good choice for renters?

So, is the cost of living in Austin, TX, reasonable for what you get? The answer depends on what you’re looking for. Housing runs above both the Texas and national averages, but other essentials like groceries, utilities, and personal services can balance things out.

Think about it this way: The cost of living in Austin includes access to live music every night, amazing food trucks, Lady Bird Lake, SXSW, and a booming job market. You’re not just paying rent, you’re investing in lifestyle and career opportunities.

For renters who want culture, career growth, and the chance to enjoy life outside of work, the cost of living in Austin offers solid value. Just make sure you’re budgeting realistically for that higher rent and remember that you’ll likely save money in other areas.

If you’re eyeing other cities, browse our cost of living guides for Seattle; San Jose, CA; Brooklyn, NY; and Las Vegas.