Is it cheaper to live in Annapolis or Salem?

Salem, OR is cheaper. Its monthly baseline of $1,170 (1BR rent + utilities) runs about 36% below Annapolis, MD's $1,820, mainly because of rent.

How much more do you need to earn to live in Annapolis than in Salem?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $64,000 a year in Annapolis versus $40,000 in Salem.

Which has lower taxes, Annapolis or Salem?

Annapolis is taxed under Maryland's rules (a top state income tax rate of 6.50% and a 6% state sales tax); Salem under Oregon's (a top state income tax rate of 9.90% and no state sales tax).

Annapolis vs Salem Cost of Living 2026

Annapolis

Maryland

$1,820/mo est.

Salem

Oregon

$1,170/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,820 in Annapolis, MD versus $1,170 in Salem, OR. Overall, Salem, OR is roughly 36% cheaper to live in day-to-day than Annapolis, MD, driven mainly by rent.

Median household income is $104,257 in Annapolis, MD and $71,900 in Salem, OR — about 31% higher in Annapolis, MD. Maryland has a top state income tax rate of 6.50% and a 6% state sales tax; Oregon has a top state income tax rate of 9.90% and no state sales tax.

Annapolis, MD

Salem, OR

Rent

Studio

$1,239

$1,075

+13% in Annapolis, MD

1 Bedroom

$1,598

$989

+38% in Annapolis, MD

2 Bedroom

$1,864

$1,337

+28% in Annapolis, MD

3 Bedroom

$2,232

$1,778

+20% in Annapolis, MD

Buying a Home

Median Home Value

$510,200

$382,400

+25% in Annapolis, MD

Income

Median Household Income

$104,257

$71,900

+31% in Annapolis, MD

Metro Median Wage (annual)

$59,070

$55,310

+6% in Annapolis, MD

People & Lifestyle

Median Age

40.9 yr

35.7 yr

+5.2 yr in Annapolis, MD

Homeownership

59.8%

55.7%

+4.1 pp in Annapolis, MD

Bachelor's+ (25+)

53.7%

31.4%

+22.3 pp in Annapolis, MD

Avg Commute

28.7 min

22.4 min

+6.3 min in Annapolis, MD

Crime (per 100k/yr)

Violent Crime

806

540.6

+33% in Annapolis, MD

Property Crime

2,111.5

2,878.6

+36% in Salem, OR

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

Climate

Avg Annual Temperature

57.1°F

53.0°F

+4.1°F in Annapolis, MD

Annual Precipitation

—

39.7 in

Gas

Regular Gasoline

$3.86/gal

$5.09/gal

+32% in Salem, OR

Area: East Coast (PADD 1) vs West Coast (PADD 5).

Utilities

Electricity (¢/kWh)

21.8

16.3

+25% in Annapolis, MD

Natural Gas ($/MCF)

$18.94

$20.59

+9% in Salem, OR

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

Groceries

Milk (gal)

$4.00

$4.82

+20% in Salem, OR

Bread (lb)

$1.75

$2.04

+17% in Salem, OR

Eggs (doz)

$2.21

$2.19

+1% in Annapolis, MD

Ground Beef (lb)

$6.45

$7.36

+14% in Salem, OR

Chicken (lb)

$1.90

$2.01

+6% in Salem, OR

Bananas (lb)

$0.62

$0.70

+14% in Salem, OR

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

State Taxes

Sales Tax (MD / OR)

None

+6.0 pp in MD

Income Tax (top rate)

6.50%

9.90%

+3.4 pp in OR

Annapolis vs Salem — FAQ

Is it cheaper to live in Annapolis or Salem?: Salem, OR is cheaper. Its monthly baseline of $1,170 (1BR rent + utilities) runs about 36% below Annapolis, MD's $1,820, mainly because of rent.
How much more do you need to earn to live in Annapolis than in Salem?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $64,000 a year in Annapolis versus $40,000 in Salem.
Which has lower taxes, Annapolis or Salem?: Annapolis is taxed under Maryland's rules (a top state income tax rate of 6.50% and a 6% state sales tax); Salem under Oregon's (a top state income tax rate of 9.90% and no 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).