Is it cheaper to live in Albuquerque or Philadelphia?

Albuquerque, NM is cheaper. Its monthly baseline of $1,040 (1BR rent + utilities) runs about 26% below Philadelphia, PA's $1,400, mainly because of rent.

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

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Albuquerque versus $48,000 in Philadelphia.

Which has lower taxes, Albuquerque or Philadelphia?

Albuquerque is taxed under New Mexico's rules (a top state income tax rate of 5.90% and a 4.875% state sales tax); Philadelphia under Pennsylvania's (a top state income tax rate of 3.07% and a 6% state sales tax).

Albuquerque vs Philadelphia Cost of Living 2026

Albuquerque

New Mexico

$1,040/mo est.

Philadelphia

Pennsylvania

$1,400/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 $1,400 in Philadelphia, PA. Overall, Albuquerque, NM is roughly 26% cheaper to live in day-to-day than Philadelphia, PA, driven mainly by rent.

Median household income is $65,604 in Albuquerque, NM and $60,698 in Philadelphia, PA — about 7% higher in Albuquerque, NM. New Mexico has a top state income tax rate of 5.90% and a 4.875% state sales tax; Pennsylvania has a top state income tax rate of 3.07% and a 6% state sales tax.

Albuquerque, NM

Philadelphia, PA

Rent

Studio

$797

$1,126

+41% in Philadelphia, PA

1 Bedroom

$889

$1,189

+34% in Philadelphia, PA

2 Bedroom

$1,140

$1,394

+22% in Philadelphia, PA

3 Bedroom

$1,459

$1,406

+4% in Albuquerque, NM

Buying a Home

Median Home Value

$266,700

$232,400

+13% in Albuquerque, NM

Income

Median Household Income

$65,604

$60,698

+7% in Albuquerque, NM

Metro Median Wage (annual)

$48,060

$54,310

+13% in Philadelphia, PA

People & Lifestyle

Median Age

38.7 yr

35.1 yr

+3.6 yr in Albuquerque, NM

Homeownership

61.5%

52.3%

+9.2 pp in Albuquerque, NM

Bachelor's+ (25+)

38.7%

34.6%

+4.1 pp in Albuquerque, NM

Avg Commute

22.2 min

32.0 min

+9.8 min in Philadelphia, PA

Crime (per 100k/yr)

Violent Crime

1,193.2

916.8

+23% in Albuquerque, NM

Property Crime

4,766.2

4,614.3

+3% 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

57.1°F

+0.1°F in Albuquerque, NM

Annual Precipitation

9.4 in

48.5 in

+39.1 in in Philadelphia, PA

Gas

Regular Gasoline

$3.99/gal

$4.30/gal

+8% in Philadelphia, PA

Area: Gulf Coast (PADD 3) vs East Coast (PADD 1).

Public Transit

Base Fare (one-way)

Free

$2.50

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

Utilities

Electricity (¢/kWh)

14.8

20.9

+41% in Philadelphia, PA

Natural Gas ($/MCF)

$11.90

$16.67

+40% in Philadelphia, PA

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

Groceries

Milk (gal)

$4.37

$4.14

+5% in Albuquerque, NM

Bread (lb)

$2.10

$1.92

+9% in Albuquerque, NM

Eggs (doz)

$2.25

about equal

Ground Beef (lb)

$7.23

$6.90

+5% in Albuquerque, NM

Chicken (lb)

$2.14

$2.02

+5% in Albuquerque, NM

Bananas (lb)

$0.74

$0.68

+9% in Albuquerque, NM

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

State Taxes

Sales Tax (NM / PA)

4.875%

+1.1 pp in PA

Income Tax (top rate)

5.90%

3.07%

+2.8 pp in NM

Albuquerque vs Philadelphia — FAQ

Is it cheaper to live in Albuquerque or Philadelphia?: Albuquerque, NM is cheaper. Its monthly baseline of $1,040 (1BR rent + utilities) runs about 26% below Philadelphia, PA's $1,400, mainly because of rent.
How much more do you need to earn to live in Albuquerque than in Philadelphia?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Albuquerque versus $48,000 in Philadelphia.
Which has lower taxes, Albuquerque or Philadelphia?: Albuquerque is taxed under New Mexico's rules (a top state income tax rate of 5.90% and a 4.875% state sales tax); Philadelphia under Pennsylvania's (a top state income tax rate of 3.07% 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).