Is it cheaper to live in Albuquerque or Louisville?

They're close. Albuquerque, NM runs about $1,040 a month and Louisville, KY about $1,040 (1BR rent + utilities) — within a few percent of each other.

How much more do you need to earn to live in Albuquerque than in Louisville?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Albuquerque versus $35,000 in Louisville.

Which has lower taxes, Albuquerque or Louisville?

Albuquerque is taxed under New Mexico's rules (a top state income tax rate of 5.90% and a 4.875% state sales tax); Louisville under Kentucky's (a top state income tax rate of 3.50% and a 6% state sales tax).

Albuquerque vs Louisville Cost of Living 2026

Albuquerque

New Mexico

$1,040/mo est.

Louisville

Kentucky

$1,040/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,040 in Albuquerque, NM versus $1,040 in Louisville, KY. The two are close overall, within a few percent of each other.

Median household income is $65,604 in Albuquerque, NM and $64,731 in Louisville, KY — about 1% higher in Albuquerque, NM. New Mexico has a top state income tax rate of 5.90% and a 4.875% state sales tax; Kentucky has a top state income tax rate of 3.50% and a 6% state sales tax.

Albuquerque, NM

Louisville, KY

Rent

Studio

$797

$786

+1% in Albuquerque, NM

1 Bedroom

$889

$877

+1% in Albuquerque, NM

2 Bedroom

$1,140

$1,096

+4% in Albuquerque, NM

3 Bedroom

$1,459

$1,299

+11% in Albuquerque, NM

Buying a Home

Median Home Value

$266,700

$221,500

+17% in Albuquerque, NM

Income

Median Household Income

$65,604

$64,731

+1% in Albuquerque, NM

Metro Median Wage (annual)

$48,060

$48,370

+1% in Louisville, KY

People & Lifestyle

Median Age

38.7 yr

37.7 yr

+1.0 yr in Albuquerque, NM

Homeownership

61.5%

60.6%

+0.9 pp in Albuquerque, NM

Bachelor's+ (25+)

38.7%

33.4%

+5.3 pp in Albuquerque, NM

Avg Commute

22.2 min

22.7 min

+0.5 min in Louisville, KY

Crime (per 100k/yr)

Violent Crime

1,193.2

761.5

+36% in Albuquerque, NM

Property Crime

4,766.2

3,535.4

+26% in Albuquerque, NM

FBI Crime Data Explorer. Offenses per 100,000 residents per year; agency reporting practices vary, so this is approximate.

Climate

Avg Annual Temperature

57.2°F

58.2°F

+1.0°F in Louisville, KY

Annual Precipitation

9.4 in

44.9 in

+35.5 in in Louisville, KY

Gas

Regular Gasoline

$3.99/gal

$4.35/gal

+9% in Louisville, KY

Area: Gulf Coast (PADD 3) vs Midwest (PADD 2).

Public Transit

Base Fare (one-way)

Free

$1.75

Adult base one-way fare — ABQ RIDE vs TARC (2026).

Utilities

Electricity (¢/kWh)

14.8

14.9

+0% in Louisville, KY

Natural Gas ($/MCF)

$11.90

$19.12

+61% in Louisville, KY

Residential, state-level averages (EIA). MCF = 1,000 cubic feet.

Groceries

Milk (gal)

$4.37

$4.16

+5% in Albuquerque, NM

Bread (lb)

$2.10

$1.73

+18% in Albuquerque, NM

Eggs (doz)

$2.25

$2.19

+3% in Albuquerque, NM

Ground Beef (lb)

$7.23

$6.56

+9% in Albuquerque, NM

Chicken (lb)

$2.14

$1.90

+11% in Albuquerque, NM

Bananas (lb)

$0.74

$0.61

+17% in Albuquerque, NM

Average prices — West vs South (BLS). Regional where available, otherwise U.S. average.

State Taxes

Sales Tax (NM / KY)

4.875%

+1.1 pp in KY

Income Tax (top rate)

5.90%

3.50%

+2.4 pp in NM

Albuquerque vs Louisville — FAQ

Is it cheaper to live in Albuquerque or Louisville?: They're close. Albuquerque, NM runs about $1,040 a month and Louisville, KY about $1,040 (1BR rent + utilities) — within a few percent of each other.
How much more do you need to earn to live in Albuquerque than in Louisville?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Albuquerque versus $35,000 in Louisville.
Which has lower taxes, Albuquerque or Louisville?: Albuquerque is taxed under New Mexico's rules (a top state income tax rate of 5.90% and a 4.875% state sales tax); Louisville under Kentucky's (a top state income tax rate of 3.50% and a 6% state sales tax).

Sources: US Census Bureau, ACS 5-Year (rent, income, home value, demographics); NOAA Climate Normals 1981–2010 (climate); EIA weekly retail (gas); Tax Foundation 2026 (state taxes).