Median one-bedroom rent across the cities we track is $1,305 in Colorado versus $963 in Indiana. Overall, Indiana runs roughly 26% cheaper on rent than Colorado, its main day-to-day cost driver.
Median household income across tracked cities is $85,364 in Colorado and $62,995 in Indiana — about 26% higher in Colorado. Colorado has a top state income tax rate of 4.40% and a 2.9% state sales tax; Indiana has a top state income tax rate of 2.95% and a 7% state sales tax.
State Taxes
Sales Tax
2.9%
7%
+4.1 pp in Indiana
Income Tax (top rate)
4.40%
2.95%
+1.5 pp in Colorado
Housing (median across tracked cities)
Median 1BR Rent
$1,305
$963
+26% in Colorado
Median Home Value
$586,700
$207,000
+65% in Colorado
Income (median across tracked cities)
Median Household Income
$85,364
$62,995
+26% in Colorado
Climate (median across tracked cities)
Avg Annual Temperature
50.2°F
53.2°F
+3.0°F in Indiana
Colorado vs Indiana — FAQ
- Is it cheaper to live in Colorado or Indiana?
- Indiana is cheaper on rent — its median one-bedroom of $963 runs about 26% below Colorado's $1,305, based on the cities we track in each state.
- How much more do you need to earn to live in Colorado than in Indiana?
- To keep rent near the recommended 30% of gross income, based on median rent across tracked cities, you'd want to earn roughly $52,000 a year in Colorado versus $39,000 in Indiana.
- Which has lower taxes, Colorado or Indiana?
- Colorado has a top state income tax rate of 4.40% and a 2.9% state sales tax. Indiana has a top state income tax rate of 2.95% and a 7% state sales tax.
Housing, income, and climate are medians across the 3/1 cities we track in Colorado/Indiana — 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.