Cost of Living in Houston: What to Expect When Living Here as a Renter

Moving to a new city comes with a lot of planning, especially for renters who need to figure out where they’ll live, how much it’ll cost and how far their paycheck will go in a different part of the country. So, before committing to a lease, it’s important to understand how much everyday life will cost in your new city — from rent and groceries to health care and entertainment. Accordingly, getting familiar with the average cost of living in Houston can help you make an informed choice.

Also known as Space City, Houston is one of the largest cities in the U.S. and an appealing destination for apartment-seekers looking for a mix of big-city opportunities and Southern charm. Known for its strong job market, major industries and diverse culture, Houston has become a top spot for renters in Texas. Whether you’re relocating for work, school, or a fresh start, understanding how the cost of living in Houston compares to the state and national averages is a smart move before you start apartment-hunting.

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

Renting in Houston offers a mix of affordability and city living that’s hard to beat. While costs vary by neighborhood, renters often discover that their money goes further here than in other major U.S. cities. In fact, Houston is known as a budget-friendly alternative to other large metros, making it appealing for those seeking urban living without overspending.

Specifically, as of March 2025, the median household income in Houston was $62,894 — helping to put the average cost of living in Houston into perspective. For renters moving from out of state, this often means more manageable day-to-day expenses than in many other parts of the country.

Additionally, utilities are on par with national averages, helping keep monthly bills predictable. For instance, basic necessities — like groceries — cost about the same here as they do in other U.S. cities, while clothing is just 1% more expensive. Health care is also 5% cheaper than the national average, which can make a difference for renters paying out of pocket. These factors help keep the overall cost of living in Houston lower than many other major cities.

Understanding the cost of living in Houston

Breaking down the cost of living in Houston means looking past percentages and averages: While comparing Houston to state and national benchmarks gives a helpful overview, it doesn’t always reflect what everyday life will cost you personally. Plus, everyone’s financial priorities and spending habits are different, so understanding the typical prices of common goods and services can make the cost of living in Houston feel more real and relatable.

To give you a clearer sense of what to expect, here’s a closer look at how daily expenses can add up in the city.

• Housing (renting & buying): Keep in mind that the actual prices fluctuate a lot depending on the neighborhood, apartment size and fancy amenities, but here are some general numbers:
  • Average monthly rent: $1,360
  • Average home price: $399,944
  • Mortgage rate: 6.80%
• Utilities: These basics are part of the deal, whether you’re renting or owning. Here’s how much you can expect to shell out in Houston:
  • Energy bill (average per month): $185.93
  • Phone bill (average per month): $211.43
• Food: Here are some ballpark prices for essential food items:
  • Milk (per gallon): $4.70
  • Eggs (per dozen): $3.97
  • Bread (per loaf): $4.04
  • Potatoes (per pound): $4.85
  • Cheese (per pound): $4.47
  • Ground Beef (per pound): $5.85
• Health care: Here’s how much Houston residents spend, on average, to keep their health in check:
  • Doctor’s visit: $95.64
  • Dentist visit: $122.22
  • Eye doctor (optometrist) visit: $126.69
• Transportation: Whether you drive or use public transit, getting around costs money. Here’s how much you can expect to pay in Houston for:
  • Gasoline (per gallon): $2.92
  • Getting tires balanced: $60.56
• Goods & services: This covers your shopping, personal care and fun money. Here’s a breakdown of these average prices in Houston:
  • Men’s shirt: $43.94
  • Women’s slacks: $45.01
  • Boy’s jeans: $37.81
  • Haircut: $25.99
  • Beauty salon: $69.23
  • Dry cleaning: $11.62
  • Movie ticket: $11.31

Seeing these specific costs gives you a better feel for what your bank account might experience in Houston.

Is Houston a smart move for renters?

Overall, the cost of living in Houston offers a favorable balance for renters who want a big-city lifestyle without paying top-dollar prices. And, with housing 17% cheaper than the national average and most other essentials falling in line with typical U.S. costs, Houston makes a strong case for affordability. Compared to the average cost of living in Texas, Houston is only slightly more expensive — just 2% higher — which is a fair tradeoff for the access to jobs, entertainment and cultural amenities that the city provides.

If you’re weighing your options and want to compare the cost of living before committing to a move, Houston stands out as a smart choice for apartment-hunters. That’s because it’s a city where your budget can stretch a bit further, and where renting doesn’t have to come with a hefty price tag. So, if you’re considering relocating, be sure to explore apartments in Houston and see how the cost of living here fits with your financial goals and lifestyle.