Is it cheaper to live in Albuquerque or Rapid City?

Rapid City, SD is cheaper. Its monthly baseline of $970 (1BR rent + utilities) runs about 7% below Albuquerque, NM's $1,040, mainly because of rent.

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

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Albuquerque versus $32,000 in Rapid City.

Which has lower taxes, Albuquerque or Rapid City?

Albuquerque is taxed under New Mexico's rules (a top state income tax rate of 5.90% and a 4.875% state sales tax); Rapid City under South Dakota's (no state income tax and a 4.2% state sales tax).

Albuquerque vs Rapid City Cost of Living 2026

Albuquerque

New Mexico

$1,040/mo est.

Rapid City

South Dakota

$970/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 $970 in Rapid City, SD. Overall, Rapid City, SD is roughly 7% cheaper to live in day-to-day than Albuquerque, NM, driven mainly by rent.

Median household income is $65,604 in Albuquerque, NM and $65,712 in Rapid City, SD. New Mexico has a top state income tax rate of 5.90% and a 4.875% state sales tax; South Dakota has no state income tax and a 4.2% state sales tax.

Albuquerque, NM

Rapid City, SD

Rent

Studio

$797

$533

+33% in Albuquerque, NM

1 Bedroom

$889

$807

+9% in Albuquerque, NM

2 Bedroom

$1,140

$1,156

+1% in Rapid City, SD

3 Bedroom

$1,459

$1,260

+14% in Albuquerque, NM

Buying a Home

Median Home Value

$266,700

$270,000

+1% in Rapid City, SD

Income

Median Household Income

$65,604

$65,712

+0% in Rapid City, SD

Metro Median Wage (annual)

$48,060

$46,270

+4% in Albuquerque, NM

People & Lifestyle

Median Age

38.7 yr

39.0 yr

+0.3 yr in Rapid City, SD

Homeownership

61.5%

61.6%

+0.1 pp in Rapid City, SD

Bachelor's+ (25+)

38.7%

36.4%

+2.3 pp in Albuquerque, NM

Avg Commute

22.2 min

17.4 min

+4.8 min in Albuquerque, NM

Crime (per 100k/yr)

Violent Crime

1,194.3

718.9

+40% in Albuquerque, NM

Property Crime

4,766.6

3,795.8

+20% 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

47.1°F

+10.1°F in Albuquerque, NM

Annual Precipitation

9.4 in

16.3 in

+6.8 in in Rapid City, SD

Gas

Regular Gasoline

$3.62/gal

$3.85/gal

+6% in Rapid City, SD

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

Public Transit

Base Fare (one-way)

Free

—

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

Utilities

Electricity (¢/kWh)

15.1

15.4

+2% in Rapid City, SD

Natural Gas ($/MCF)

$9.31

$15.26

+64% in Rapid City, SD

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

Groceries

Milk (gal)

$4.82

$4.31

+10% in Albuquerque, NM

Bread (lb)

$2.04

$1.66

+19% in Albuquerque, NM

Eggs (doz)

$2.19

$3.63

+66% in Rapid City, SD

Ground Beef (lb)

$7.36

$6.77

+8% in Albuquerque, NM

Chicken (lb)

$2.01

$2.10

+4% in Rapid City, SD

Bananas (lb)

$0.70

$0.62

+12% in Albuquerque, NM

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

State Taxes

Sales Tax (NM / SD)

4.875%

4.2%

+0.7 pp in NM

Income Tax (top rate)

5.90%

None

+5.9 pp in NM

Albuquerque vs Rapid City — FAQ

Is it cheaper to live in Albuquerque or Rapid City?: Rapid City, SD is cheaper. Its monthly baseline of $970 (1BR rent + utilities) runs about 7% below Albuquerque, NM's $1,040, mainly because of rent.
How much more do you need to earn to live in Albuquerque than in Rapid City?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Albuquerque versus $32,000 in Rapid City.
Which has lower taxes, Albuquerque or Rapid City?: Albuquerque is taxed under New Mexico's rules (a top state income tax rate of 5.90% and a 4.875% state sales tax); Rapid City under South Dakota's (no state income tax and a 4.2% 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).