Median one-bedroom rent across the cities we track is $777 in Iowa versus $1,170 in Texas. Overall, Iowa runs roughly 34% cheaper on rent than Texas, its main day-to-day cost driver.
Median household income across tracked cities is $64,497 in Iowa and $67,043 in Texas — about 4% higher in Texas. Iowa has a top state income tax rate of 3.80% and a 6% state sales tax; Texas has no state income tax and a 6.25% state sales tax.
State Taxes
Sales Tax
6%
6.25%
+0.3 pp in Texas
Income Tax (top rate)
3.80%
None
+3.8 pp in Iowa
Housing (median across tracked cities)
Median 1BR Rent
$777
$1,170
+51% in Texas
Median Home Value
$177,100
$264,900
+50% in Texas
Income (median across tracked cities)
Median Household Income
$64,497
$67,043
+4% in Texas
Climate (median across tracked cities)
Avg Annual Temperature
49.3°F
67.2°F
+17.9°F in Texas
Iowa vs Texas — FAQ
- Is it cheaper to live in Iowa or Texas?
- Iowa is cheaper on rent — its median one-bedroom of $777 runs about 34% below Texas's $1,170, based on the cities we track in each state.
- How much more do you need to earn to live in Iowa than in Texas?
- To keep rent near the recommended 30% of gross income, based on median rent across tracked cities, you'd want to earn roughly $31,000 a year in Iowa versus $47,000 in Texas.
- Which has lower taxes, Iowa or Texas?
- Iowa has a top state income tax rate of 3.80% and a 6% state sales tax. Texas has no state income tax and a 6.25% state sales tax.
Housing, income, and climate are medians across the 3/8 cities we track in Iowa/Texas — 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.