Median one-bedroom rent across the cities we track is $1,253 in Arizona versus $877 in Kentucky. Overall, Kentucky runs roughly 30% cheaper on rent than Arizona, its main day-to-day cost driver.
Median household income across tracked cities is $77,041 in Arizona and $64,731 in Kentucky — about 16% higher in Arizona. Arizona has a top state income tax rate of 2.50% and a 5.6% state sales tax; Kentucky has a top state income tax rate of 3.50% and a 6% state sales tax.
State Taxes
Sales Tax
5.6%
6%
+0.4 pp in Kentucky
Income Tax (top rate)
2.50%
3.50%
+1.0 pp in Kentucky
Housing (median across tracked cities)
Median 1BR Rent
$1,253
$877
+30% in Arizona
Median Home Value
$364,300
$221,500
+39% in Arizona
Income (median across tracked cities)
Median Household Income
$77,041
$64,731
+16% in Arizona
Climate (median across tracked cities)
Avg Annual Temperature
75.1°F
58.2°F
+16.9°F in Arizona
Arizona vs Kentucky — FAQ
- Is it cheaper to live in Arizona or Kentucky?
- Kentucky is cheaper on rent — its median one-bedroom of $877 runs about 30% below Arizona's $1,253, based on the cities we track in each state.
- How much more do you need to earn to live in Arizona than in Kentucky?
- To keep rent near the recommended 30% of gross income, based on median rent across tracked cities, you'd want to earn roughly $50,000 a year in Arizona versus $35,000 in Kentucky.
- Which has lower taxes, Arizona or Kentucky?
- Arizona has a top state income tax rate of 2.50% and a 5.6% state sales tax. Kentucky has a top state income tax rate of 3.50% and a 6% state sales tax.
Housing, income, and climate are medians across the 3/1 cities we track in Arizona/Kentucky — 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.