Is it cheaper to live in Albuquerque or Rochester?

Albuquerque, NM is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 20% below Rochester, MN's $1,280, mainly because of rent.

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

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Albuquerque versus $44,000 in Rochester.

Which has lower taxes, Albuquerque or Rochester?

Albuquerque is taxed under New Mexico's rules (a top state income tax rate of 5.90% and a 4.875% state sales tax); Rochester under Minnesota's (a top state income tax rate of 9.85% and a 6.875% state sales tax).

Albuquerque vs Rochester Cost of Living 2026

Albuquerque

New Mexico

$1,030/mo est.

Rochester

Minnesota

$1,280/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,030 in Albuquerque, NM versus $1,280 in Rochester, MN. Overall, Albuquerque, NM is roughly 20% cheaper to live in day-to-day than Rochester, MN, driven mainly by rent.

Median household income is $65,604 in Albuquerque, NM and $87,767 in Rochester, MN — about 25% higher in Rochester, MN. New Mexico has a top state income tax rate of 5.90% and a 4.875% state sales tax; Minnesota has a top state income tax rate of 9.85% and a 6.875% state sales tax.

Albuquerque, NM

Rochester, MN

Rent

Studio

$797

$1,080

+36% in Rochester, MN

1 Bedroom

$889

$1,106

+24% in Rochester, MN

2 Bedroom

$1,140

$1,243

+9% in Rochester, MN

3 Bedroom

$1,459

$1,646

+13% in Rochester, MN

Buying a Home

Median Home Value

$266,700

$287,500

+8% in Rochester, MN

Income

Median Household Income

$65,604

$87,767

+34% in Rochester, MN

Metro Median Wage (annual)

$48,060

$60,620

+26% in Rochester, MN

People & Lifestyle

Median Age

38.7 yr

36.4 yr

+2.3 yr in Albuquerque, NM

Homeownership

61.5%

65.4%

+3.9 pp in Rochester, MN

Bachelor's+ (25+)

38.7%

50.1%

+11.4 pp in Rochester, MN

Avg Commute

22.2 min

17.2 min

+5.0 min in Albuquerque, NM

Crime (per 100k/yr)

Violent Crime

1,194.3

158.9

+87% in Albuquerque, NM

Property Crime

4,766.6

1,379

+71% 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

45.4°F

+11.8°F in Albuquerque, NM

Annual Precipitation

9.4 in

33.0 in

+23.6 in in Rochester, MN

Gas

Regular Gasoline

$3.62/gal

$3.95/gal

+9% in Rochester, MN

Area: Gulf Coast (PADD 3) vs Minnesota.

Public Transit

Base Fare (one-way)

Free

—

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

Utilities

Electricity (¢/kWh)

14.1

16.9

+20% in Rochester, MN

Natural Gas ($/MCF)

$11.90

$14.95

+26% in Rochester, MN

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 Rochester, MN

Ground Beef (lb)

$7.36

$6.77

+8% in Albuquerque, NM

Chicken (lb)

$2.01

$2.10

+4% in Rochester, MN

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 / MN)

4.875%

6.875%

+2.0 pp in MN

Income Tax (top rate)

5.90%

9.85%

+3.9 pp in MN

Albuquerque vs Rochester — FAQ

Is it cheaper to live in Albuquerque or Rochester?: Albuquerque, NM is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 20% below Rochester, MN's $1,280, mainly because of rent.
How much more do you need to earn to live in Albuquerque than in Rochester?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Albuquerque versus $44,000 in Rochester.
Which has lower taxes, Albuquerque or Rochester?: Albuquerque is taxed under New Mexico's rules (a top state income tax rate of 5.90% and a 4.875% state sales tax); Rochester under Minnesota's (a top state income tax rate of 9.85% and a 6.875% 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).