Median one-bedroom rent across the cities we track is $1,076 in Alaska versus $777 in Iowa. Overall, Iowa runs roughly 28% cheaper on rent than Alaska, its main day-to-day cost driver.
Median household income across tracked cities is $98,152 in Alaska and $64,497 in Iowa — about 34% higher in Alaska. Alaska has no state income tax and no state sales tax; Iowa has a top state income tax rate of 3.80% and a 6% state sales tax.
State Taxes
Sales Tax
None
6%
+6.0 pp in Iowa
Income Tax (top rate)
None
3.80%
+3.8 pp in Iowa
Housing (median across tracked cities)
Median 1BR Rent
$1,076
$777
+28% in Alaska
Median Home Value
$375,900
$177,100
+53% in Alaska
Income (median across tracked cities)
Median Household Income
$98,152
$64,497
+34% in Alaska
Climate (median across tracked cities)
Avg Annual Temperature
37.4°F
49.3°F
+11.9°F in Iowa
Alaska vs Iowa — FAQ
- Is it cheaper to live in Alaska or Iowa?
- Iowa is cheaper on rent — its median one-bedroom of $777 runs about 28% below Alaska's $1,076, based on the cities we track in each state.
- How much more do you need to earn to live in Alaska than in Iowa?
- To keep rent near the recommended 30% of gross income, based on median rent across tracked cities, you'd want to earn roughly $43,000 a year in Alaska versus $31,000 in Iowa.
- Which has lower taxes, Alaska or Iowa?
- Alaska has no state income tax and no state sales tax. Iowa has a top state income tax rate of 3.80% and a 6% state sales tax.
Housing, income, and climate are medians across the 3/3 cities we track in Alaska/Iowa — not population-weighted statewide figures. Taxes are exact state-level rates. Sources: US Census Bureau, ACS 5-Year; NOAA Climate Normals 1981–2010; Tax Foundation 2026.