A+
11%
Overall NAT. AVG.
6%
Goods & Services NAT. AVG.
23%
Housing NAT. AVG.
Search Homes for Sale
Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.
The cost of living index is based on a national average of 100. For example, if the cost of living is 90, then it is 10% lower than average. If the cost of living is 110, then it is 10% higher than average. The breakdown for each index is as follows: goods & services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). If the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
Index El Paso Texas National
Cost of living8992100
Goods & Services9496100
Groceries9696100
Health care8994100
Housing7783100
Transportation10392100
Utilities88104100

An Overview of Cost of Living in El Paso, TX

Knowing the cost of living in El Paso allows individuals to create a realistic budget. This helps them understand how their income will cover expenses and whether they need to make financial adjustments. The cost of living in any region can fluctuate due to various factors. To assess the cost of living consistently across different areas, a national average of 100 serves as the basis for the cost of living index. The cost of living in El Paso stands at 89, marking it 11% lower than the national average.

What Do Locals Say About the Cost of Living in El Paso?

The real experts on a city are its residents. That's why we reached out to 27 locals to get their views on the cost of living in El Paso. We surveyed the residents and asked them if they felt like prices were affordable or out of reach. The results were as follows. 48% found it budget-friendly with decreasing prices, while 52% said it's simply not affordable as prices have continued to rise.

Is El Paso Affordable?

Is El Paso an affordable place to live? That's a valid question to ask when you're thinking about moving to a new city. After all, how much it costs to live somewhere can be a huge factor in your decision. Affordability can be broken down into 3 common categories. The cost of living index (we talked about it earlier), housing expenses and income levels all play a big role in figuring out if a place is affordable. For instance, in El Paso, the median home price is 28.1% lower than what most folks pay across the country, and monthly rent prices are 9.7% lower than the usual rates. Income levels in El Paso come in at $48,866, which is 11.7% lower than the national average.

What Factors can Influence the Cost of Living in El Paso?

Subsidies: Certain cities or states may institute government subsidies or assistance programs designed to alleviate the financial burdens associated with the cost of living for their residents. These programs encompass a variety of support mechanisms, including Medicare, Medicaid, housing subsidies, low-income home energy assistance programs, school lunch programs, supplemental nutrition assistance programs, student loans, electric vehicle tax credits, affordable care act subsidies and farm subsidies. Areas that provide fewer subsidies may see an uptick in their overall cost of living.

Urbanization: Larger, urban hubs brimming with ample amenities and robust employment opportunities often showcase a heightened cost of living. This surge is primarily attributed to the amplified demand for services and increased residential migration, culminating in elevated home prices and elevated rental rates. Conversely, less densely populated rural locales or regions characterized by reduced demand tend to offer a more limited array of amenities and undergo slower job market growth, ultimately yielding a more affordable cost of living.

Housing: Elevated demand for housing within coveted locales has the propensity to escalate both property values and rental rates, thereby serving as a primary catalyst for an augmented cost of living. Conversely, areas witnessing diminished housing demand, particularly within less desirable environs, often experience an inversely proportional effect, leading to price reductions and subsequently contributing to a more modest cost of living. In El Paso, the housing index is 22.6% lower than the national average.

Where is the Data From?

The El Paso cost of living data displayed above is derived from the C2ER cost of living index to provide a useful and reasonably accurate measure of living cost differences in urban areas. Published on a quarterly basis, it compiles data from more than 300 independent researchers, encompassing over 60 goods and services. These items have been meticulously selected to represent various consumer expenditure categories, in 6 categories. Weightings assigned to cost differentials draw from government survey data tracking spending patterns among professional and executive households. While the C2ER index excludes data on sales or income tax rates, AreaVibes incorporates tax rates into the overall cost of living score for each region.

New Real Estate Listings in El Paso Area
Search Homes for Sale in El Paso, TX

Cost Of Living Quick Facts

  • The cost of living in El Paso is 3% lower than the Texas average
  • The cost of living in El Paso is 11% lower than the national average
  • El Paso housing is 23% lower than the national average
  • Texas general sales tax is 22% higher than the national average
  • Texas state income tax is 100% lower than the national average

Most Affordable Places to Live in and Around El Paso

See all the best places to live around El Paso

Compare El Paso, TX Cost of Living

      vs
      How would you rate the cost of living in El Paso?
      Write a review to give others more information about this area.
      Is the cost of living increasing or decreasing in El Paso?
      Write a review to give others more information about this area.
      See all El Paso poll results

      Salary Calculator

      This is how much you would need to earn in
      Price difference in compared to
      Cost of living index
      Goods & Services index
      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median Income Per Year Per Month Max Budget (28% DTI) Max Budget (36% DTI)
      Owners$62,916$5,243$1,468$1,888
      Renters$32,231$2,686$752$967
      The percent of monthly income spent on housing can be a good indicator of the affordability of housing in El Paso, TX, as well as the overall cost of living. As a general rule of thumb, the debt-to-income ratio (DTI) for homeowners or renters should be not more than 28 percent of gross income to be spent on housing related costs and not more than 36 percent of income on all expenses, including debts. The median income for El Paso homeowners, is $62,916. This would allow for a maximum of $1,468 per month to be spent on housing costs. For renters, the median monthly income is $32,231 which would result in a maximum of $752 to be spent on rental costs.

      Texas Sales Tax

      State General Sales Tax With Max Surtax
      Texas 6.25% 8.25%

      Texas Income Tax

      State Income Tax (Low) Income Tax (High)
      Texas 0% 0%

      Goods & Services

      Item El Paso National avg. Difference
      Haircut $18.67$24.2623.1%
      Beauty Salon $38.94$45.5614.5%
      Toothpaste $3.64$3.701.7%
      Shampoo $1.21$1.285.8%
      Movie $9.50$12.1321.7%
      Bowling $11.67$18.0035.2%

      Groceries

      Item El Paso National avg. Difference
      Ground Beef $5.68$5.842.8%
      Fried Chicken $1.57$1.570.2%
      Milk $4.53$4.673.0%
      Potatoes $4.55$4.937.9%
      Pizza $9.66$12.0920.1%
      Beer $10.31$10.410.9%

      Health Care

      Item El Paso National avg. Difference
      Optometrist $72.61$125.6842.2%
      Doctor $96.89$135.7828.6%
      Dentist $90.94$113.2919.7%
      Ibuprofen $10.30$10.653.3%
      Lipitor $483.94$468.603.3%

      Housing

      Item El Paso National avg. Difference
      Home Price $132,800.00$184,700.0028.1%
      Avg. Mortgage Payment $1,603.62$2,346.6931.7%
      Apartment Rent $857.00$949.009.7%

      Transportation

      Item El Paso National avg. Difference
      Gasoline $2.97$3.4614.3%
      Tire Balancing $45.89$59.9223.4%

      Utilities

      Item El Paso National avg. Difference
      All Electricity $197.18$193.991.6%
      Phone $208.71$192.258.6%
      Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.

      Nearby cities with low cost of living

      City Population Cost of Living Index National Avg.
      La Union, NM9078019.8%
      Sparks, TX3,8738119.0%
      Canutillo, TX4,9688218.0%
      Westway, TX3,3658218.0%
      Vinton, TX1,6928317.3%
      El Paso, TX679,8798910.6%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Detroit, MI672,3518415.5%
      Boston, MA689,32616665.5%
      Nashville, TN667,0701088.4%
      Vancouver, BC694,440n/a 
      Washington, DC701,97416463.7%
      El Paso, TX679,8798910.6%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.