Cost of Living in Fort Hood, TX

An Overview of Cost of Living in Fort Hood, TX

Knowing the cost of living in Fort Hood 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 Fort Hood stands at 104, marking it 4% higher than the national average.

The cost of living in Fort Hood aligns closely with the national average when compared to other cities across the nation. Everyday essentials such as groceries, goods and services, health care and utility bills are priced at a level consistent with the average in similar urban areas. Fort Hood residents can anticipate that their daily expenses won't be significantly higher than those in an average city, ensuring that the cost of living remains manageable.

Housing costs are a very significant part of the Fort Hood cost of living index and generally encompass a large percentage of take-home income. Unfortunately, in this area, the housing costs for both homes and rentals were 27.5% more than the average city. This includes things like home and rent prices, mortgage rates and insurance.

Everyday staples like clothes, toiletries and entertainment expenses play a big role in your total living costs. But in Fort Hood, these goods are 10.3% cheaper than the national average. So, you can enjoy what you need and love without emptying your wallet. Plus, you'll have more cash to put towards your savings or any other money goals you have, which is a real boost for your financial well-being.

Grocery prices are climbing, making it hard to find cities with affordable food options. However, in Fort Hood, the grocery index is 8.7% lower than the national average, making it a budget-friendly place to shop for groceries when compared to other cities across the country.

Is Fort Hood Affordable?

Is Fort Hood an affordable place to live? It's a good question and one that you might want to ask when considering any new city, as affordability can play a huge role in the decision making process. The cost of living index (which we covered above), as well as housing costs and income levels play a vital role in determining the affordability of an area. The median home price in Fort Hood is 100% lower than the national average, while the average monthly rent prices are 27.5% higher than average. The affordability of any location can also be influenced by median income levels. Fort Hood has a median household income of $45,417, which is 17.9% lower than the national average.

What Factors can Influence the Cost of Living in Fort Hood?

Groceries: Grocery expenditures have undergone notable escalation over the last 2-3 years. In some markets, the cost of food products has surged by more than 20%, while others have experienced only modest increments. These fluctuations in food costs can have a significant impact on the overall cost of living in any region. In Fort Hood, the groceries index registers 8.7% lower than the national average.

Taxes: Regions that impose higher taxes, including sales and income taxes, can contribute to an increased cost of living. Higher taxes for everyday necessities such as clothing, utilities and food inevitably leads to higher expenditures. Additionally, a higher income tax rate can also play a role in elevating the overall cost of living. In Fort Hood, the prevailing sales tax rate starts at 6.25%, and income tax rates kick off at 0%.

Urbanization: Urban areas with a wealth of amenities and employment opportunities tend to come with a higher price tag for living. Why? Well, more people want to be there, which drives up home prices and rents. On the flip side, less densely populated rural areas or places where there's not as much demand usually mean fewer attractions, things to do and slower job growth. That often results in a lower cost of living.

Where is the Data From?

The Fort Hood 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. The index takes into account data from 300 independent researches, covering more than 60 goods and services across 6 different categories, to create an overall index for each area, with 100 being the average. The C2ER index does not include sales or income tax rates in their data, however AreaVibes does include both income and sales tax rates in the overall cost of living score for each area.