Median one-bedroom rent across the cities we track is $870 in Iowa versus $978 in New Jersey. Overall, Iowa runs roughly 11% cheaper on rent than New Jersey, its main day-to-day cost driver.
Median household income across tracked cities is $63,966 in Iowa and $48,416 in New Jersey — about 24% higher in Iowa. Iowa has a top state income tax rate of 3.80% and a 6% state sales tax; New Jersey has a top state income tax rate of 10.75% and a 6.625% state sales tax.
State Taxes
Sales Tax
6%
6.625%
+0.6 pp in New Jersey
Income Tax (top rate)
3.80%
10.75%
+7.0 pp in New Jersey
Housing (median across tracked cities)
Median 1BR Rent
$870
$978
+12% in New Jersey
Median Home Value
$183,700
$337,800
+84% in New Jersey
Income (median across tracked cities)
Median Household Income
$63,966
$48,416
+24% in Iowa
Climate (median across tracked cities)
Avg Annual Temperature
50.9°F
54.9°F
+4.0°F in New Jersey
Iowa vs New Jersey — FAQ
- Is it cheaper to live in Iowa or New Jersey?
- Iowa is cheaper on rent — its median one-bedroom of $870 runs about 11% below New Jersey's $978, based on the cities we track in each state.
- How much more do you need to earn to live in Iowa than in New Jersey?
- To keep rent near the recommended 30% of gross income, based on median rent across tracked cities, you'd want to earn roughly $35,000 a year in Iowa versus $39,000 in New Jersey.
- Which has lower taxes, Iowa or New Jersey?
- Iowa has a top state income tax rate of 3.80% and a 6% state sales tax. New Jersey has a top state income tax rate of 10.75% and a 6.625% state sales tax.
Housing, income, and climate are medians across the 1/1 cities we track in Iowa/New Jersey — 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.